08/30 – ETF Trading – IWM, TWM

IWM closed higher on Friday, generating an etf shorting opportunity based on our etf trading signals. Consider taking a short position in IWM should the etf close higher today.

If you’re unable to short IWM, consider trading the inverse etf – TWM. However, use the etf trading signals for IWM to trade TWM. TWM is a double inverse etf – please trade carefully.

IWM – The investment seeks investment results that correspond generally to the price and yield performance of the Russell 2000 index.

TWM – The investment seeks daily investment results, before fees and expenses, which correspond to twice the inverse of the daily performance of the Russell 2000 index.

We may take up to 3 trading positions over the next couple of days. Our first position is 1/6 of our total trading amount. Our second position is 1/3 of our total trading amount. Our third trading position is 1/2 of our total trading amount. You could also take positions in a 20-30-50 ratio. All trades are at the market close. Please trade responsibly.

Assuming we get into the trade, our exit signals for IWM are triggered when the closing price for IWM is lower than it’s MA(5), or – for a potentially larger gain – when the RSI(2) is less than 30. Trade TWM when the signals for IWM trigger.

Learn why the Russell 2000 index (IWM) is now a good short etf trading opportunity in the book by Larry Connors: High Probability ETF Trading. His etf trading strategies have only a few rules and you’ll be able to back-test and apply the strategies to the next trading day. With easy to follow trading strategies, clear explanations, and years of tested results, there is no better place to start finding new trading edges than in High Probability ETF Trading. Get your copy today and be ready for the next trading session.

Disclaimer:The content on this site is provided as general information only and should not be taken as investment advice. All site content, including advertisements, shall not be construed as a recommendation to buy or sell any security or financial instrument, or to participate in any particular trading or investment strategy. The ideas expressed on this site are solely the opinions of the author(s) and do not necessarily represent the opinions of sponsors or firms affiliated with the author(s). The author may or may not have a position in any company or advertiser referenced above. Any action that you take as a result of information, analysis, or advertisement on this site is ultimately your responsibility. Consult your investment adviser before making any investment decisions.

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Learn 16 Strategies to Improve Your Trading…

• 01/13 - ETF Trading - SPY, SSO, IWM, UWM Good morning. Yesterday's market sell-off generated the signals for our etf trading set-ups. Another sell-off today will give us some good entry points. Put SPY and IWM on your watch list. Take an initial position should these move lower today. For a leveraged trade on SPY, consider SSO. For a......
• 01/26 - ETF Trading - IWM, UWM IWM closed higher yesterday, and above its 5 day moving average for a small gain of .67%. However, we're waiting for the RSI(2) to close above 70 to trigger our etf exit. Updated charts are posted below. To review, we have a long trade in IWM in progress. Our exit......
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