RUT'S RSI lowest since Covid's crash !Omicron + Speedy tapering are the keys
Or could be the start of a correction !
Already 12% down form top !
IWM
$sofii've actually been eying this stock for maybe a month now, i dont short or play puts so i waited patiently for entry. today i bought 400 shares and i am looking for this to make highs back to $22-$25. sofi seems to have a good army of investors and institutional holders. this could become a long term hold if bank charter news creeps closer anytime soon!
RTY Expansion zone - Trend TBDWe're experiencing another Expansion zone as highlighted before. Market will be deciding on Trend. Under that average price will result in a down trend.
IWM: Nasty Sell-Off Now Ready For Reversal IWM Looking to get back to 226.90 by Friday. Get over there and back to ATH after a few days of consolidation.
es\rty 12\3 update~good morning,
the bulls came in clutch in this last second to put in the fifth leg of a sloppy leading diagonal into wave (1) of a higher degree
this in my eyes confirms a break of downtrend, and the dip that comes is for buying.
expect a deeper dip than usual, as there is still very strong selling pressure, but don't be afraid of it.
i don't think we take out of the local lows.
dip might not come today, but i got a feeling we gonna get it sometime soon.
To Buy The Dip or Not To Buy The Dip - Place Your Bets!So here's your stock market correction update:
S&P 500 -5%
Nasdaq-100 -7%
Russell 2000 -13%
Pick your bottoms carefully.
I generally think that a -10% correction is a great drawdown point to start entering. But, at the same time, some individual stocks have been totally crushed from Zoom to Palantir and Peloton and more. These big, pandemic, names have been cratering 30%, 40% and 50%. Just look around the market and you will see that it is a stock picker's bear market!
The three charts above showing the indexes that I am most interested in:
S&P 500
Nasdaq-100
Russell 2000
I don't show the Dow because it is just 30 companies. There are over 5,000 stocks in the market today and even more cryptocurrencies. I really don't want to compare just 30 companies no matter how large they are. I am not interested.
All that matters now to me is where the bottom will be found.
Small caps are -13% and they tend to be my favorite playing field. So I am looking deeply into that world.
But also the Nasdaq-100 is down 7% from its highs. Let's just I've set an alert for the Nasdaq-100 and the moment it hits -10%. I think that will be an interesting choice.
Thanks for reading!
iShares Russell 2000 ETF (IWM)Someone brought this to my attention and I put a chart together. Did we hit the bottom or not yet? All feedback welcome, it helps all of us!
NVDA TRIGGER LEVELSBull Scenario
NVDA triggers Bull to Mark Up into our Bull Targets
NVDA finds support at our Bear Trigger to Mark Up into our Bull Trigger
Bear Scenario
NVDA triggers Bear into our Bear Targets
NVDA finds Resistance at our Bull Trigger and Marks Down into our Bear Targets
Neutral
Price action stays within our Trigger levels (inventory rebalance)
Side Note
Each level has potential to reverse not all targets may be met.
PWSC Bull$PWSC
Is a ticker to keep on your radar. Small cap stock that I see lots of value in at the moment.
Currently in a triangle pattern on the 4HR. Sitting just above the bottom trend line.
Also looks like a falling wedge on the 15 Min chart, watching this end of day.
PWSC has shown lots of strength recently during the market sell off & volatility. Either way watching this for the break up or down, whichever comes first I will ready.
As long as $20 holds I will be in calls with time. I’m bullish.
VIX VIX is a fear gauge for the market
Breaking out of this purple angle warrants some worries. If we manage to give back the current high then we can say we can move onto a risk-on environment.
There is a sector rotation happening right now tech seems to be fading its strength and filling some gaps while some of the first sellers are finding support
𝗦𝗺𝗮𝗹𝗹-𝗰𝗮𝗽 𝗨𝗽𝗱𝗮𝘁𝗲: $IWM Weekly. Fake Breakout?If support fails and confirms a fake breakout things could get ugly. One of the more important trendlines to watch!
$RTY_F $AMC $CROX $SPY $ES_F $QQQ $NQ_F $VIX $TLT $TNX $DXY #Stocks #Trading 📈
S&P 500 Trigger levels We just took out yesterdays low so we need to monitor that along with our VIX post
will the Russell 2000 hold the line? $iwm $rut Russell2000 has been sideway for most of 2021. is this distribution or the pause before the next launch. the broad market sell off has me thinking bad things for the indices. Price to sales on the biggest names seem to be getting reprices from the lofty growth rates. time will tell, but I dont think this is the bottom.
Time for smallcaps?After a long period of $QQQ outperformance, this is the time when I would look for smallcaps ($IWM Russell 2000 etf is a good proxy) to take the lead.
Opening (IRA): IWM January 21st 188 Short Put... for a 3.20 credit.
Comments: Selling 16 delta premium in the broad market exchange-traded fund with the highest 30-day, which is IWM, at 41.5%. I wanted to use the January 14th expiry (42 days until expiry), but the lowest strike available there was the 193, so went out to the monthly instead.
Rolled: IWM January 7th 234 Short Call to 222... for a 3.43 credit.
Comments: You know the drill: rolled down for a realized gain on the call side and to cut directionality. I've collected a total of 13.86 for what is now a 10-wide inversion 222C/232P, so the most I can hope to make out of this is 13.86 -10.00 or 3.86. Current break evens: 218.16 on the put side, 235.86 on the call.
Rolled: IWM December 31st 250 Short Call to 230... for a 1.76 credit.
Comments: Rolling down for a realized gain on the call side and to cut net directional delta, with the resulting short strangle being the December 31st 213/230. Total credits collected of 4.98.
Rolled: IWM December 23rd 234 Short Call to 224... for a 2.09 credit.
Comments: Rolling the short call down for a realized gain and to cut net directional delta. Total of 8.10 in credits collected, with the roll resulting in a 222.5/224 short strangle. Even with today's move and the roll down of the short call, the setup remains net delta long (around 14.33) with break evens at 214.40 and 232.10.
VIX - Santa Clause Rally?! Market pulled back - expect to see a market rally when the vix comes down from current levels.
Historical Behavior post-recessionsThe Russell 2000, as well as the S&P500 tend to have a similar behavior coming out of market bottoms. In this case, we analyze the potential move with past historical data.
The first year is usually a strong one, the second one there is consolidation and accumulation, the third there is a strong rally that loses steam near September.
Using market bottoms from:
1974
1982
2003
2009
BNGO reversal soon?$BNGO another stock on my watchlist. Touched weekly support and bounced.
Looking to catch the bottom and confirmation of reversal only if we can reclaim $4 and hold. Slowing momentum on the daily chart as well.
Set alerts over $4
Swing targets: 4.15, 4.3, 4.56,
Puts if $4 cannot hold
$RTY Russell 2k anchored VWAPMost important chart in the market today imo. VWAP anchored to yesterday's low bar provides the safety signal. Above it, buyable imo. Below, gtfo.
Long XLU short IWMIt is time to go defensive again. ISM PMI declining from expansion, historical high percentiles of distribution. US10Y going down together with ISM. Long Utilities as defensive sector, short IWM small-caps high-beta assets.
Best,
