The Russell 2000 ETF (IWM) had a strong move coming out of the vaccine news in November. It’s been consolidating for the last two months and now may be ready to continue higher.
The main thing jumping out of today’s chart is the 50-day moving average. IWM tested it in early March and has chopped on either side of it since. But now prices are trying to hold it as they squeeze into a tight range.
Second, notice the relationship with the 10-day moving average, which is rising up toward the 50-day moving average. Other times when it crossed above in May and October were followed by periods of strength.
Market Insights, its pages and content are hosted by TradeStation Group, Inc.
TradeStation Securities, Inc., TradeStation Crypto, Inc., and TradeStation Technologies, Inc. are each wholly owned subsidiaries of TradeStation Group, Inc., all operating, and providing products and services, under theTradeStation brand and trademark. TradeStation Crypto, Inc. offers to self-directed investors and traders cryptocurrency brokerage services. It is neither licensed with the SEC or the CFTC nor is it a Member of NFA. When applying for, or purchasing, accounts, subscriptions, products and services, it is important that you know which company you will be dealing with. Please click here for further important information explaining what this means.
Past performance, whether actual or indicated by historical tests of strategies, is no guarantee of future performance or success. There is a possibility that you may sustain a loss equal to or greater than your entire investment regardless of which asset class you trade (equities, options, futures, or digital assets); therefore, you should not invest or risk money that you cannot afford to lose. Before trading any asset class, first read the relevant risk disclosure statements on the Important Documents page, including the document titled Characteristics and Risks of Standardized Options if you are interested in trading equity or index options. Online trading is not suitable for all investors. System access and trade placement and execution may be delayed or fail due to market volatility and volume, quote delays, system and software errors, Internet traffic, outages and other factors.