IWM has shown me an overbought condition and a bearish butterfly. I also detected a continuation pattern for about a 16% gain in RWM, and, as we all should know, RWM is the inverse of IWM. IWM has also under-performed the S&P 500 during the recent counter-trend rally, and is still about 15% under its highs. I bought RWM in anticipation of the IWM decline. I think RWM may go to about $75 to $76 in the next month.
These are my views. Thank you.
These are my views. Thank you.
Comment:
Update March 23, 2016: IWM closed at $106.88, down $2.0134, or 2.14%. The decline should continue. The short side of this trade, RWM, closed at $64.34, up $1.25, or + 1.98%. I feel RWN will continue to rise to my projection of $75 to $76.