RUT is again nearing its previous highs of 856 (July ’07) and 868 (May 2011.)  It’s already exceeded the .886 of each of those, and is rapidly approaching the .886 retracement of its most recent dip from 848 to 730 (March 27 – June 4, 2012).

As charted back on June 15 [see: Forecasts, Darts and Ouija Boards] we completed an Inverse H&S pattern that reversed the traditional H&S completed on May 8.

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It targets 833, which just so happens to intersect with the .886 retracement referenced above.  This is also within a few points of the May 1 high of 830.10.

Note, reaching this target would make for a very nicely formed Bat pattern.

The channel formed over the past few weeks reaches our target price level as early as July 9.   The RSI chart hints at a possible small pullback here at current prices, but it’s by no means assured.

Stay tuned.