There is a lot of chatter out there this evening about a potential down cycle, with varying targets of 1340, 1300, even 1270/50.
Here is something to consider....
IWM, weekly...the bullish count
Its only a 4...yes?
A few have noted that we may indeed only be in a wave'4, much in the style of the earlier wave'2. If this is the case, IWM would floor around 75/76...and then proceed to make new highs in May/July period, perhaps as high as the low 90s. I suppose there is always the 'truncated' fifth wave idea too.
Interestingly, the 76.00 level on IWM, would match up with a few of the other key levels/moving averages on both the daily and monthly cycles.
So, 'if' we do cycle lower next week, and get as low as 1340, with IWM at 76, the doomers (myself included) will need to be real careful.
*I believe IWM 76.0 would equate to SP'1335/45, and Dow 12200/400