RUT has reached the upper bound of a well-defined channel that dates back to 1998.
It could leak slightly higher in reaching for the top of the large rising wedge and some key Fib levels, but I suspect RUT has reached a turning point.
continued for members…
There is a case to be made for 996.26 — a Butterfly Pattern completion at the 1.272 Fib generated by the 20207-2009 crash. The April 2010 reversal makes for a solid Point B, coming in within 56 cents of the .786. But, there are other important harmonic levels which would first need to be cleared.
While RUT has already reached it’s IH&S target and the purple 1.618 at 918.25, the more recent white Crab Pattern remains just above current prices at 933.36.
It’s a little easier to see on the 60-min chart, where there’s a small IH&S pattern suggesting an intra-day topping of 933.36 might also be in the offing.
GLTA.
Comments
One response to “RUT: End of the Line?”
Hello PW, is the “End of Line” finding specific to RUT? I notice the IWM (Smallcap Rus 2000 index) is the almost the same as MDY (midcap index). You don’t have to draw the chart of MDY. But you can simply look at IWM and MDY together. They are almost identical.