We have been monitoring IWM all week with instructions to add puts on an IWM close below 194. About 30 minutes before the Wednesday's close it was clear the trade would be triggered. Both trading services should have been adding the IWM Mar 15th $195P near the close of trading. This morning the market has opened up, but it shouldn't be long before IWM back in declining mode. Thirty minutes into the Open and IWM has already given up much of the early gains, topping at 195.34 and now back well below 194.00. Earnings today are due for AAPL, META and AMZN, so there may be some more whipsaw action before this nascent down leg begins in earnest. Based on the longer term charts below, there is still plenty of time to enter early in the decline. IWM Daily Trend Model SPY Big Picture Chart This is a classic five wave impulse wave that sports of "throw-over thrust" coming out of a smaller degree fourth wave triangle. Yes, that is a mouthful of Elliott Wave speak, but it makes for a compelling longer term top up from October, 2022. In addition, note that the down leg Wednesday fell to below the Trend Model Signal Line, meaning a down red arrow Sell Signal is likely in the next day or two. If so, a powerful potent down leg has just begun which will bring much lower prices over the course of the next few months. QQQ - First leg down breaks below $400 on its way toward $350 and points south.
