With a strong open Thursday morning and a sharp move lower in the afternoon, the Russell 2000 ETF has a bearish engulfing pattern working on the day. The bulls started in control, but the bears clearly took control in the afternoon. Also notice that the MACD-Histogram turned negative three days ago, indicating that MACD moved below its signal line.
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The IWM ended with a Bearish Engulfing but not the Russell 2k. Is this still a strong Bearish signal. Thanks !
Posted by: P R | October 21, 2010 at 04:42 PM