Russell 2000 On Pace For Weekly Bearish Engulfing

Just two days ago, we were highlighting the bull case for the market as the Nasdaq 1000 $QQQs closed at new all time highs.

But now we want to bring your attention to the bear side of the train tracks as they aren’t letting this market breakout easily.

The $IWM ETF that tracks the small cap Russell 2000 is now on pace to put in a bearish engulfing weekly bar.

It’s also the first time we’re testing the flattening 20 period EMA in nearly 5 months.

It’s important to note, we’re still in an uptrend on this weekly time-frame and the 20 period could act as an area of interest for buyers to step in.

One thing that is clear, the IWM has been and continues to be the laggard of October 2016.

Good luck out there.