Aggressive traders went short IWM (via buying the Aug 19th $170P) when it closed under $172 on Tuesday. A close below $170 today is formal new position for all as it will strongly suggest a new leg down to under $150 has begun. IWM: Currently @169.74 Breaking below $170 breaks below the Wave 2 channel and increases probabilities that Wave 3's of multiple degrees are starting. The entire unfolding should take days to weeks and momentum will continue to build to the downside as market psychology deteriorates. IWM 45 minute QQQ 2 HOUR QQQ 280 is another key support level that needs to give way before downside momentum can confirm the start of a new EW leg down. SPX: Nasty looking Wave Count "Nasty" = 1-2, 1-2, 1-2
