Member @jim inquired about my thoughts on TZA (3x bearish/short small cap ETF) within the trading room. I covered IWM in first video that I recorded this morning which I scrapped after completing since it went too long in duration. I meant to cover IWM it in the subsequent market update along with QQQ & SPY but mistakenly left it out. IWM has been locked in a sideways trading range since early December.

IWM 60-min Feb 2nd

IWM 60-min Feb 2nd

As with all sideways trading ranges, the indicators & oscillators start to flatten out & essentially become useless in helping to ascertain the next likely trend. As such, we need to watch for either an impulsive & convincing breakout above the top of trading range (bullish) or below it (bearish). Based on my outlook for QQQ & SPY, I favor a downside resolution from this range.