We should see the following areas of support hold should the incredible relative strength wane. As support areas break, the next lower areas of support become targets. $106 still in play on the upside via Cup + Handle breakout measured move target. I don't particularly like the setup that took us to these new highs and do have reservations as to whether it is legitimate in achieving the $106 target. I'm short IWM, but waiting to make a market direction prediction until we see the objective reached or trend channel & support violated. In other words, there hasn't been a clear short entry point for bears just yet.
My immediate downside "SHTF" target for IWM is $89. Should weakness persist, $79 comes into view with long term Elliot Wave 4 confluence waiting at trend line support. All goes well from there the eW 5 target aligns around the $120 handle in late August or September 2014. I'm not in the business of trading a year away, so please take this analysis with a grain of salt. We'll have a better idea of what we're dealing with as price action unfolds. Also note declining volume divergence contrasting the recent rise in IWM price. Cheers all!
My immediate downside "SHTF" target for IWM is $89. Should weakness persist, $79 comes into view with long term Elliot Wave 4 confluence waiting at trend line support. All goes well from there the eW 5 target aligns around the $120 handle in late August or September 2014. I'm not in the business of trading a year away, so please take this analysis with a grain of salt. We'll have a better idea of what we're dealing with as price action unfolds. Also note declining volume divergence contrasting the recent rise in IWM price. Cheers all!