In 26th dec, there was a high probability weakness in IWM based on this graph.
Top of BB's and impulse has no potential, yet important resistance/break out.
//rising TNX is bad for cyclicals or small caps.
Here is IWM bouncing off of the 5ema while also in the process of confirming an Daily inverse head and shoulders pattern. The inverse head and shoulders will be confirmed once price breaks 199.53 and this could give IWM a chance for continuation to $205+.
Short AMEX:IWM
Very likely we see a crash this week to the 200 level.
I am playing off of the current market conditions and rising ECONOMICS:US10Y yield, etc..
The market as a whole is now set to roll over rather sharp . Only long now is FB . we are now in the area within the sp 500 to see a rather large top as I have said 4460 to 4617 focus 4607 at each rally the bulls are now in a bull trap . . oil has one last pop and a crash in oil is set with ALL inflated assets
If you pay attention to quarterly rotations - the timing of their occurrence, the breadth of selling and the actual rotation direction, read further.
Quarterly rotations don’t always take place on the same time each quarter. Sometimes they strike early or late. This causes difficulty in determining when to take a position, which is why we build positions over...
Feb 2021 last pump month of all the shitstonks that were sub $1 and are now at 10-1000x.
This idea contradicts my previous view of a blow-off top to 300 and would mean a retrace to the previous 1.6 fib
On a low volume day like this VWAP and open range breakouts is what i i'd be looking for to execute a trade safely. Sitting on hands is always the safest too.
IWM leg down soon?
Looks like the end of a rising wedge. It's possible we have an escape on the top side though. Sellers are getting exhausted, but are buyers?
This may just lead to a breakout of the price to the lower edge of the wedge, but it's not coiled like this since the beginning of the wedge. The market volume has been dropping more and more. Perhaps this is enough to finally break the wedge and cause a corrective leg down.
Bear flag on the weekly.
Rising wedge/pendant is currently on the 68% fib trend based time zone indicating a historically common place to continue the downward trend.
This should put it in the targeted area in 3 weeks. I've traced possible bars for weekly options. It will likely be violent so plan to trade actively.
Additionally, I posted a hourly chart...
Wedge pattern forming on IWM since 4/6 w/ declining volumes.
This week's volume was extremely low except at close where it tended to drill.
I think this is a fantastic indicator that we are about to leg down to 110, or potentially to a new low for the year.
Those who follow me know I have been bearish (and still am in the long term) since January. However looking at the IWM which has been a very good leading indicator of the market overall, the Gild news could have breathed a new lease of life to the market.
Looking at the actions a few days before the GILD news we can see that the IWM was rejected twice and closed...
“The big talking point in US equities circles of the past week has been the extreme mega-cap outperformance over small-cap”, he says, noting that Nomura’s US equities “size” factor market-neutral strategy has suffered the biggest four-day rout in the past 10 years.
...
The explanation is simple. “Investors are in the liquidity and ‘safety’ of the mega-caps right...
