Russell: Breaking Downtrend, Showing Huge Move Higher
Ryan Mallory | Sep 09, 2013 03:38PM ET
The chart on the Russell 2000 (RUT ) is pretty interesting right now and I've started paying a whole lot more attention to it these days, as it seems to be one of the most technically dependable and predictable indices for predicting future movements in the broader market.
Down-Trend Break
But check out how cleanly it is breaking the down-trend off of the 8/2 highs that it formed over a month ago. It is also breaking right through 1039, which represented some heavy resistance for the small cap index and it did so with little-to-no effort.
The biggest obstacle on the Russell that I see going forward is the 1055 level -- right near the highs -- and likely to offer a great deal of resistance.
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