Both /RTY (Russell 2000 Small-cap index futures) & IWM (R2k ETF) recently put in divergent lows on the 60-minute time frames. While positive (bullish) divergence is not a buy signal, divergent lows often precede tradable trend changes (from bearish to bullish). Of course, a lot can change later today with the big FOMC rate decision as well as Apple’s (AAPL) earnings report after the market closes tomorrow. Just wanted to pass this along for those interested in either a pure-play long on the small caps or an indirect/potential hedge to a short on the tech-heavy large-cap Nasdaq 100 index (/NQ, QQQ, etc..). 60-minute charts below.
IWM 60m May 3rd
RTY 60m May 3rd