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The Russell 2000 has rallied 13.87% from its lows of 342.59 on March 9, 009.  It closed today at 390.12.  I would expect to see this move reach resistance at around 415 on the Russell 2000.  This move would be another 6.4% on the upside. 

There is still a good chance that we will see either a 50% retracement of the move off the lows or a retest of the lows set on March 9, 2009.   I would prefer to see one more retest of the lows.  If that retest were to happen we would then see a better opportunity to go back to the January highs of 519 on the Russell 2000. 

Oh, you could just see the intraday reversal setting up yesterday.  C’mon, strength on Tuesday morning after the Labor Day long weekend set up by the panic in the commodities markets due to the lack of damage from a hurricane?

Bad market times are great times for stocks which bet against various indexes in the stock market, I have compiled a list of the stocks that do well when the index does not.
If you have the ability to do a lay over chart you can see that the stocks listed below each index, they rely on that index doing badly, who says you cant make money in a bad market. <o:p> </o:p>

These stocks will produce as long as the bear market holds, my best guess is til about september. <o:p> </o:p>

Bad market times are great times for stocks which bet against varies indexes in the stock market, I have compiled a list of the stocks that do well when the index does not. <o:p> </o:p>

If you have the ability to do a lay over chart you can see that the stocks listed below each index rely on that index doing badly, who says you cant make money in a bad market.

The Fed Pump was our last catalyst to break through 1400.<!--more--> I'm going to be more negative, and if we pop to 1410, 1420 etc on S&P 500, I will began layering in even more shorts.

Time for a pullback in the russell 2000.   This ETF is an ultra short of that index.  There is major resistence at 735 on the russell.  Expect some sideways movement but an eventual retest of the bottom around 650-660.  At that point I will be selling TWM and letting the market tell me how it will act off this new ressitence point.   If it rallies I will get very bullish if not...

I particularly like to force myself into watching this index closest during market downturns, as the russell will be the first to show strength and carry us out of the Bear market.