RTY Technical Analysis
· RTY broke below the red trendline and 200D MA in October, then bounced back above them toward the midterm election day, where it was stopped by the declining 50D MA.
· Now it broke down decisively below the red trendline and 200D MA again.
· It is now below the declining 50D and 100D MAs and also below the 200D MA, which could curl down soon.
· It is reasonable to expect that these three MAs plus the red trendline will represent a significant resistance for any RTY bounce.
· The blue channel is a so-called Elliott wave channel connecting the 2nd and 4th wave lows.
· On Friday, RTY stopped at the lower trendline of this channel; for additional bearish confirmation, I would like RTY to break below this channel as well.
