07/24/2014 – Russell 2000 index

Issued: 07/24/2014

September Russell 2000 index:

1. Today’s September Russell 2000 index attempted higher prices but was unable to trigger our $1164 buy stop noted in our previous (Tuesday, July 22) update.

2. A daily close today below either $1162 or (especially) $1156 may prompt new short entry for a tradable decline to at/near $1139/$38 noted in the previous update.

3. No new action is being taken at this point. Will update as the market continues to confirm either above $1164 (buy stop) or by closing below $1162 or $1156 noted above.

David Williams

Issued: 07/25/2014

September Russell index:

1. Our July 22 and July 24 September Russell index report indicated that daily closes below $1156 and worst-case, $1162 were the weaker position and would indicate a tradable decline and test/attempt at $1139/$38 into late this week.

2. July 22, 23rd and 24th tested and closed below the critical $1156 and $1162 levels. Today’s session (Friday, July 25) declined further and completed the $1139/$38 late week downside target (today’s session low, $1136.00, so far).

3. Self-directed traders who shorted the market based upon the above exited a portion of their position at $1139/$38 noted in the original update. A daily close today above $1139 is the stronger position and will be the earliest indication for a Friday, July 25 daily bottom. Will update.

David Williams

Issued: 07/22/2014

September Russell 2000 index:

1. Today’s September Russell 2000 index close below $1156 which is the weaker position and ordinarily indicates a tradable decline and test/attempt at $1139/$38 (or lower) into late this week. New short entry will be messaged in a subsequent update if the market continues to confirm below $1156.

2. However, the possibility exists for higher prices. Therefore, new long entry should be taken at/near $1164 if touched on or before Friday July 25.

3. Partial long position exit should be taken at/near $1172, and further exit at/near $1175. Will message protective stops and any remaining long position exit if the market confirms on the upside as noted above.

David Williams