IWM (ETF for Russell 2000 Index)

IWM is the ETF for the Russell 2000 Index of small stocks.  Often times I’ve found that this index leads the S&P and the Industrials.  The chart shows that a double bottom occured with the lows in July and August.  On Friday it gapped up, closing the downside gap established in August. Currently price is attempting to get to the second price objective of the move up at 65.27.  However, the indicator has entered the extended area putting pressure on the move up.  To start a move down, price would have to go through 62.40 and the first price objective would be 60.31.  This ETF closely follows the Russell 2000 futures.

Arthur