IWM trade ideas
Study of Swing Trade Entries using Stochastic, RSI and MA'sPlease read notes on chart first.
Yellow arrow and triangle breakout are points (time and place) at which you might buy calls for a swing trade. If your trade is based on 30m timeframe, you can still use 5m to fine tune your entry. Key is that you identify targets and stops based on your 30m chart.
Study white arrow on today's 5m chart for today's swing trade entry. For example, 11/11 181 call ~1.75 near when price was ~178.70, and now is over 3.00. (Price moved well today and this could be a day trade as well.)
UPDATE_IWM Harmonic Elliott Wave AnalysisOverview: let's review the key points of the pervious updates I have on IWM so far:
August 20th: Wave (X) top is in.
September 5th: We are in wave c of 3 of A of (Z) of 2.
September 27th: Wave III of A of (Z) of 2 is near completion.
Update: IWM has been following our expectations perfectly the whole time. Now, I see that we have peaked for wave B of (Z) of 2 and right now, we are in wave (b) of I of C of (Z) of 2.
SmallCaps may make a comeback IWM vs QQQ shown that QQQ has outperformed IWM relentlessly, but in the next few months or years--especially as FAANG is now dead--the Small Cap stocks of IWM might be poised to make a comeback. Time will tell.
Short the Russell stillWe're still short of the IWM on the current economic enviornment. Better Ratio on this trade. Feel free to trade a smaller position on this signal.
Closed (IRA): IWM November 18th 163 Short Put... for a .57 debit.
Comments: Collected a total of 2.72 with rolls on this one. (See Post Below). Out for .57; 2.15 ($215) total profit.
Closed (IRA): IWM December 16th 145 Short Put... for a .76 debit.
Comments: (Late Post). Collected a total of 2.11 in credits. (See Post Below). Out today for a .76 debit. 1.35 ($135) profit.
This leaves me with two rungs -- the November 18th 163 (currently 14 delta) and the November 18th 173 (currently 33 delta), for a total of 44 long delta. Both of these are hedged off with a long put vertical in IWM (See Post Below), which is currently marking at -74 delta. I'll be rolling out the short leg of the diagonal tomorrow, which will decrease the short delta slightly, after which I will look to see whether I should add back in IWM long delta to make sure that I'm not too short/directional in this position. (33 long - 74 short = -41 delta). As part of this consideration, I also need to look at my portfolio delta as a whole to see whether it's okay to keep the IWM position net delta short, since it enjoys a close correlation with SPY (.95 3-month).
Since it kind of drives me slightly bonkers to leave positions skewed out (regardless of whether they can do double duty as a closely correlated broad market hedge), I'll probably end up adding some long delta back in.
Short idea #18- Why bet against trend?Hey all, I think IWM is going to drop in November; I am hoping it chugs slightly higher in the coming week as I am looking to short this name. This chart doesn't look particularly healthy, and it is clearly in a downtrend. I see no reason that trend won't stay intact, and I perceive IWM is going to be a very safe short when $SPY reaches $389/share. My predicted move is drawn out.
IWM daily evening star reversalOrder SELL IWM ARCA Stop 169.22 LMT 169.22 will be automatically canceled at 20230401 01:00:00 EST
IWM daily evening star reversal that's maybe it for wave 2 wave C correction of uptrend
IWM daily pinnacle patter after long day bullish candleOrder BUY IWM ARCA Stop 175.10 LMT 175.10 will be automatically canceled at 20230401 01:00:00 EST
IWM daily pinnacle patter after long day bullish candle if we break above trendline can run higher. Be ready to exit quick for small profit.
Rolling (IRA): IWM November 18th 152 Short Put to December 16th... 145 for a .58 credit.
Comments: With the 152 nearly at 50% max, rolling down and out to the strike paying around 1% of the strike price in credit. Total credits collected of 1.53 (See Post Below), plus the .58 here, for a total of 2.11. Realizing a gain, reducing risk, reducing buying power, and improving my break even all in one swoop ... .
Closed (IRA): IWM October 21st 178 Short Put... for an .89 debit.
Comments: By the hair of my chinny chin chin. Filled for a 1.78 credit. (See Post Below). Out on zero day for 50% max. .89 ($89) profit.
IWM and TD Buy SetupIWM formed the reversal pattern with TD Buy Setup at a significant support area. I waited for the bullish price flip signal and decided to use the previous bar as SL. Interestingly, tunnel line and TDST L. is the same level for TP; thus, the following setup has been applied. Don't forget to calculate your position well before trading. Good Luck!
$IWM Small Caps at Inflection PointI don't post a lot about indices because stock setups drive the majority of my decisions.
I leave the general market to folks that r smarter than me.
That said, am aware of inflection points & $IWM small caps is at one.
A level bears want to defend, otherwise, you'll see them panic.
Opened (Margin): IWM 144/154/182/192 Iron Condor... for a 3.34 credit.
Comments: (Late Post). Another "synthetic short strangle" I put on on Friday, with the short legs set up around the 25 delta, the longs out from there to obtain a 50% ROC at max metric. 3.34 credit on buying power effect of 6.66; 50.2% at max; 25.1% at 50% max.
Will primarily look to roll paired legs (short call/long put, short put/long call) to delta balance. For example, the short call finished the day in .52/$52 worth of profit, the long put .43/$43, so I would look to roll the short call and long put down simultaneously to lock in that realized gain and to delta balance.
TOP WAVE STRUCTURE I am still in 100 % CASH > I loved how we held my 3578 .But I am ok with letting this trade show itself >I hit my min target 3511/3490 into the time cycle >BUT I need to see Mr Market show me the MONEY still have to get past the 20/22 then I will be happy . Best of trades ! WAVETIMER
IWM Observation - Potential Reverse Symmetry Move? AMEX:IWM
This isn't a prediction.
In fact, I think a full retrace is unlikely.
However, I want to leave it as an idea to see how the chart unfolds.
Short the RussellThe market is perpetuating low risk taking which makes the Russell a better broad index short than the S&P500. There's more room to the downside for this one to play out. We suggest a smaller position to which one can add incrementally after it makes it's move. The stop loss can also be moved closer to Breakeven to improve on the Ratio.
IWM swing long idea 10/14/22Hey all, as I've been making clear, I suspect a near-term pullback. I am fully planning on buying the dip; here's how I plan on playing IWM and what I am expecting.
IWM bearish hammer at 50% Fib retracement with RSI divergenceOrder SELL IWM ARCA Stop 172.40 LMT 172.40 will be automatically canceled at 20230401 01:00:00 EST
IWM bearish hammer at 50% Fib retracement with RSI divergence wave 5 of downtrend buckle up!
Bite size long IWMHey all, I'm thinking IWM is a solid buy here, and that it is going to rally to my PT over the coming days/weeks. I'd stop out below the base.
IWM weekly bearish hammer wave 5 downtrendOrder SELL IWM ARCA Stop 164.04 LMT 164.04 will be automatically canceled at 20230401 01:00:00 EST
IWM weekly bearish hammer wave 5 downtrend take profit at 168% fibonacci extension of wave 4 downtrend, stop loss above the hammer.
What is next?IWM gives us mixed signals.
It gives both bearish and bullish signals, which can be disturbing, but I have a strategy for that too...
But first let's analyse the chart.
A symmetrical triangle is forming after a huge seloff.
Meanwhile, the weekly S2 pivot point (165.77) and the POC (168.51) are squeezing the price into a tighter range.
The tighter it squeezes, the bigger the breakout will be.
At the same time; MACD shows a regular divergence, which is bullish.
The RSI was oversold(<30), now it is back above 30 and rising, which is also a bullish sign.
On the other hand, we are still in a downward trend, so a continuation is possible.
It supports the fact that today's green candle is low in volume, which means that participation is low.
Whatever the situation, I expect a huge breakout in one direction or another.
In my opinion, the "straddle" option strategy is best suited to this situation.
I am playing the 18 Nov 22 169 straddle.
Support: 165.77, 155.58
Resistance: 168.97, 172.63, 178.24
