RUT came close to breaking out yesterday after a historic 3.57% gap higher. In last year’s in-depth look at RUT [see: Feb 8, 2023 Update], we made the case for a drop to 1629 in May.
If, as I suspect, it fails in the next week or so, 1536-1554 is still in the cards. This was the original most logical target all along. The middle ground would be to continue bumping along until the rising white channel midline arrives at 1629 around May.
As it neared our 1629 target in April, RUT attempted one more comeback before plunging to 1633 in October.
It rallied sharply into the end of the year, as did everything else, finally reaching our next upside target — its .618 Fib — in March. Until yesterday, it had been rangebound – making lower highs and higher lows.
We’ll take a closer look at this latest move and its implications.
continued for members…
Sorry, this content is for members only.Click here to get access.
Already a member? Login below… |