RTY-mini: Setting the Stage for Another Leg Down

RTY-mini has been consolidating on Thursday after the strong decline, a reaction to the bearish statements of the FED Chairman on Wednesday:

That flat and shallow a-b-c up consolidation is setting the stage for another leg down targeting to retest September-October Double Bottom made at 1,640.

Remember, price does not travel in a straight line fashion, It makes a large step down followed by a step up followed by another large step down. Normally that consolidation in between of two trending moves is called a correction or consolidation. Traders need time to psychologically accommodate to new price levels.

Once we get a flat and shallow directionless a-b-c up retracing 41.4% – 50% of the preceding decline bears will realize bulls are weak and its time to start pushing down again.

Subscribe to Free Updates

Get Unlimited Access

More To Explore

$ES: Made a Move Down as Expected But Has Not Hit The Target Yet

$ES #ES #trading setup #Elliott Wave We closed last week with a short setup that allowed bears to push ES-mini down to 4,312. On Monday morning ES dropped down to 4,338.25 and produced a corrective

CastAwayTrader September 25, 2023

$NQ: Approaching a Strong Support

$NQ #NQ #trading setup #Elliott Wave NQ is approaching a very strong confluence of two levels: Let’s dive deeper and check a 120 min chart: On the 120 min chart I highlighted important support levels

CastAwayTrader September 24, 2023

Important Disclaimer

CastAway Trader LLC, the publisher of this web-site and videos is not registered as an investment adviser nor a broker/dealer with either the U. S. Securities & Exchange Commission or any state securities regulatory authority. Users of the website www.castawaytrader.com and viewers of the videos are advised that all information presented on the website is solely for informational purposes, is not intended to be used as a personalized investment recommendation, and is not attuned to any specific portfolio or to any user’s particular investment needs or objectives.

Trading stocks, options, or futures carries a high level of risk, and may not be suitable for all investors. Before deciding to trade, you should carefully consider your objectives, financial situation, needs and level of experience. CastAway Trader LLC provides general overview of trading methods that does not take into account your objectives, financial situation or needs. The content of this website must not be construed as personal advice. All trading setups and/or trades presented in the web site and/or trading chat room by CastAway Trader an/or by other members of the chat should be considered hypothetical for educational purposes only and should not be expected to be replicated in a live trading account.

An investor could potentially lose all or more than the initial investment. You should not speculate with capital that you cannot afford to lose. Only risk capital should be used for trading and only those with sufficient risk capital should consider trading. Risk capital is money that can be lost without jeopardizing ones’ financial security or life style.

You should be aware of all the risks associated with trading. You should seek advice from an independent financial advisor.

Any information posted on this web site is not to be construed as an offer to sell or the solicitation of an offer to buy, nor is it to be construed as a recommendation to buy, hold or sell (short or otherwise) any security. All users of the website must determine for themselves what specific investments to make or not make and are urged to consult with their own independent financial advisors with respect to any investment decision. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. All opinions, analyses and information posted on the website are based on sources believed to be reliable and written in good faith, but should be independently verified, and no representation or warranty of any kind, express or implied, is made, including but not limited to any representation or warranty concerning accuracy, completeness, correctness, timeliness or appropriateness. In addition, CastAwayTrader LLC and its officers and employees undertake no responsibility to notify such opinions, analyses or information or to keep such opinions, analyses or information current. Also be aware that the owners, officers and employees of the web site www.castawaytrader.com may have long or short positions in securities that may be discussed on the website, Premium Trading Chat room and/or in the videos posted by CastAway Trader LLC.

Past results are not indicative of future profits.