Russell 2000 has had one of the best looking “repeating patterns” of any major index over the past few years. The chart below reflected this almost identical topping pattern, representing a beautiful place to harvest and score on defense if aggressive (see post here)

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The quiz of 7/13, (chart show below) reflected a beautiful pattern, per a sweet spot to go short (See post here)

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From all of the markets/charts I look at, the Russell has been one of the best, IF NOT THE BEST, per sending quality signals to trade. 

Premium members picked up RWM a couple of days ago due to the chart below, reflecting that a key resistance line, dating back to 2008 was at hand. Since the markets appear to be in a counter trend mode, agressive investors want to establish new short positions up against key resistance.  (see resistance hurdle)

Since then a monster bearish wick has taken place in the Russell at Fibonacci resistance!  As Harry Caray would say…”Holy Cow!”

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This pattern has been suggesting weakness was ahead and boy has it been right.  We remain looking to score on defense, by owning RWM with a trailing stop.

If the Russell 2000 breaks below the 650 level, we could be looking at a “Wave 3” in front of us!  (see why the 650 level/wave 3 is important)

How The Recent Decline In Stocks Looks "Eerily" Like Major Bear Markets Of The Past