For many a week now, I’ve warned of the horrifying danger of the small caps completing their basing pattern and doing something like is represented in the conjectural chart below. That would basically be the end of all hope for good, decent people. The bad guys will have truly won.
Today, however, was an important shift. I have stated on my tastylive show many times how valuable it would be for prices to move “right and out of the tint“. It seems to me we have done so. The next critical achievement would be to break the horizontal I’ve drawn, which is at 180.43 on the iShares Russell 2000 ETF (NYSE:IWM).
What this means is………..there’s hope. It isn’t a sure thing. It isn’t even a strong probability. But intelligent, honorable people may, in the end, win this thing.
And give the bulls what they so truly deserve.