Friday, March 28, 2008

IWM finally cracks

A glorious day indeed with the IWM retacing to the 50% fibo! While I probably should have covered my short position going into the weekend, the big body red candle, trendline break, 50MA and 30MA breaks all convinced me that there is more downside room. The technical indicators continue to rollover so I'm still in. A little more volume would be nice on these down days but I like the steady decline of the various A/D indicators, showing that big money is moving out. Nice tight stops will keep my profit locked in, but I'm not in any hurry to get out. A full retracement to 64 would be just fine thank you.

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