Short This Small-Cap Index
Ryan Mallory | Apr 29, 2016 04:15PM ET
Let's just say that the Russell index does not like to put forward a good challenge to its 50-week moving average -- and this week was no different.
After testing the 50-week moving average last week for the first time since early December of last year, the Russell tested it this week too. And just like previous attempts, it could not break through the MA, throwing in the towel by selling off nearly 2% since Thursday afternoon.
If you're looking for an index to short with a clear-cut risk/reward that is quite favorable and a blatant area of where to close your trade out -- if it doesn't work out -- then give the Russell short a try. (Disclaimer: I am short the Russell Index as of Wednesday)
h3 Here Are The IWM Technicals
Get The News You Want
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.