I am testing out a short in the small caps as we speak, based on the 30-minute IWM support trendline breach, seen below.
Inside 12631, I am long TZA with a protective stop-loss below $15.70, though I may cut it sooner if proven incorrect.
Small caps still have major technical issues, from a long-term perspective. And the last few days of exuberant bouncing does not negate that damage.
Let’s see if bears can lean on dip-buyers here for a rollover.