IWM is trading this morning just above 180.00, slightly higher for the session. For the first time in weeks we have a new Key Level a break of which would suggest much lower prices: 177.20. With the market up today, that may seem like a long way to fall, but its just really one headline, or news event reaction away. Any follow-through lower will just make the structural case stronger for a new major leg down. Because there is so much air below that level it is a good trigger for additional IWM Jan 19th 2024 puts. Accordingly, on a break below 177 let's add the an initial position in the Jan 19th $175P and double the position on a subsequent close below 175.00. IWM Target by Jan Expiration (see chart below): < 145; Jan 19th; $175P Target > 30 Stop: 50% Trailing from entry IWM - Daily Trend Model IWM Jan 19th Puts Add IWM Jan 19th puts on a break below $177, double up on a close below $175.
