On the , there has been a crossover, but we are still below the zero line, and has been declining on the chart. The declining is a sign that investors are moving to the sidelines, as they wait to see who this formation resolves itself.
Trade war tensions, an increasingly hawkish , rising , a flattening yield curve, and a technically overextended market, are just a few of the fundamental reasons why this market is showing signs of exhaustion. The overall formation here looks like a top is forming in the market, but even if we see a breakdown from the primary pattern, the IWM could hold support around the 135 level, thereby defining the bottom of what would be a rising . I say "would be" because the black on the bottom of the channel is only projected from a single low. So, technically, that doesn't even exist yet. I just have it on my chart to show where price could find support, and still maintain a parallel . In case you are wondering, the upper black has multiple touches, and the lower black is a clone of it.
For now, I will be watching for a reversal in the near future, which causes the patterns to complete themselves. I'm the master of the charts, the professor, the legend, the king, and I go by the name of Magic! revoir.
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.***
-Magic loves you-