IWM: Key Levels and Trade Setups for Dec. 17IWM Technical Analysis and GEX Overview
1D (Daily) Chart:
* Trend: IWM is showing signs of a bearish move as it continues to pull back from recent highs near 244.98. The price has fallen below the 9 EMA and is testing a support zone.
* Key Levels:
* Support: 231.88
* Resistance: 240.00 and 243.69
* MACD: Showing downward momentum with a bearish crossover; selling pressure persists.
* Volume: Volume has slightly increased, suggesting active participation as sellers dominate the trend.
1H (Hourly) Chart:
* Trend: The price is attempting to stabilize after a significant decline. It bounced off the 231.88 support and is testing the short-term resistance at 234.50.
* Key Levels:
* Immediate Support: 233.00
* Resistance: 235.00 and 237.00
* MACD: Mixed signals, showing potential for a bullish crossover if momentum increases.
* Possible Scenarios:
* A reclaim above 234.50 can target 235–237 in the near term.
* A failure to hold 233 could trigger a retest of 231.88 support.
GEX Analysis:
* Key Gamma Levels:
* 2nd PUT Wall: 237 (-1.45%)
* 3rd PUT Wall: 236 (-2.65%)
* 2nd CALL Wall: 235 (+72.27%)
* Highest Positive Gamma: 234 – This suggests resistance near 234 could create a ceiling unless bulls push through with strength.
* Support Gamma: Gamma exposure at 231–233 offers strong PUT support, likely preventing sharp declines.
* IVR: 25.4
* IVx Average: 23.5
* Call/Put Skew: CALLS 18.26% dominance, indicating bullish sentiment but cautious buyers.
Trade Suggestions:
Scalp Trades (Intraday):
* Bullish:
* Buy CALL: If price reclaims 234.50 – Target: 235.50
* Stop-Loss: 233.50
* Bearish:
* Buy PUT: If price rejects 234 – Target: 232.00
* Stop-Loss: 234.75
Swing/Day Trades:
* Bullish Setup:
* Buy CALL: Above 235 for a move towards 237–240.
* Expiration: 1–2 weeks
* Stop-Loss: 232.50
* Bearish Setup:
* Buy PUT: If price closes below 233 for a retest of 231.88–231.
* Expiration: 1–2 weeks
* Stop-Loss: 235.00
Outlook:
IWM remains under pressure, but the bounce from key support at 231.88 suggests a potential short-term reversal if resistance at 234.50 breaks. Traders should watch the gamma walls near 234–235 for confirmation of direction. The short-term bias remains neutral to bearish unless buyers reclaim resistance zones.
Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Always perform your own research and manage risk accordingly.
