The IWM looks pretty decent at this stage. It still continues to base under all-time highs and could be perceived as a cup with handle pattern. A very large, cup with handle pattern. The previous cycle in the early part of the year was much more bearish being that it had a lower high. More recently we got a higher high that tested an all-time high mark before pulling back and currently holding a higher low.
Maybe some Federal stimulus that benefits the small-caps is in the cards starting 2013? :)
The setups I include on this blog are used in conjunction with the 3/10macd and the criteria I ascribe to it as a way to alert me to an existing condition of price. The key concept to take away from this blog is that I try to anticipate what will happen on the higher time frame by using a faster time frame to trigger the trade setup. I do not trade a "system" I use two indicators to clue me in to price conditions. Please read the Disclaimer located in the sidebar of this site. I can be contacted via email at email@example.com
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