👀 Copy Legendary Investors' Portfolios in One ClickCopy For Free

Russell 2000 on Verge of New July Lows; S&P 500, Nasdaq Hold Breakout Support

Published 10/16/2023, 03:01 PM
US500
-
US2000
-
IWM
-
IXIC
-

It was a tricky Friday last week for the Russell 2000 (IWM) as the index experienced additional losses to take it on the verge of a new low for the decline initiated in July.

The MACD is still holding to its 'buy' trigger (a weak 'buy' as it occurred below the bullish zero line), and at least volume didn't register as distribution, although that's about all you could be positive about.

IWM-Daily Chart

The Nasdaq and S&P 500 both took heavier losses than they experienced on Thursday, but both are holding to breakout support.

Stochastics [39,1] have been rebuffed at the mid-line, effectively confirming a bear market high from last week. Further losses from here will set up a test of the September swing low.

COMPQ-Daily Chart

It was a similar story for the S&P 500 as stochastics were also rebuffed at the mid-line. A loss tomorrow would reverse the breakout and likely deliver new 'sell' triggers for the ADX and On-Balance-Volume, adding fresh pressure for a retest of October lows.

SPX-Daily Chart

In all likelihood, we are looking for losses across the indexes, delivering damning blows with new lows for the Russell 2000 to go with breakout reversals in the Nasdaq and S&P 500.

Latest comments

Loading next article…
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.