IWM Short is the Stock of the Week

August 07, 2023, 09:51 am ET, BY Thomas H. Kee Jr- Editor, Stock Traders Daily| Editor: Thomas H. Kee Jr. (Follow on LinkedIn)

The Stock of the Week by Stock Traders Daily this week is iShares Russell 2000 ETF (NYSEARCA: IWM).  This strategy identifies precise trading plans, with entry levels, target prices, and stop losses.  Since 2008, the Stock of the Week Strategy has been offering subscribers 1 stock to trade every week, and if followed the Strategy has an average annual compound rate of return in excess of 35%.

Get this week's plan by visiting the Stock of the Week Page.  

Longer Term Trading Plans for IWM

• Buy IWM slightly over 183.32 target 194.24 stop loss @ 182.79 Details

The technical summary data tells us to buy IWM near 183.32 with an upside target of 194.24. This data also tells us to set a stop loss @ 182.79 to protect against excessive loss in case the stock begins to move against the trade. 183.32 is the first level of support below 193.415 , and by rule, any test of support is a buy signal. In this case, support 183.32 is being tested, a buy signal would exist.

• Short IWM slightly under 194.24, target 183.32, stop loss @ 194.8 Details

The technical summary data is suggesting a short of IWM as it gets near 194.24 with a downside target of 183.32. We should have a stop loss in place at 194.8though. 194.24 is the first level of resistance above 193.415, and by rule, any test of resistance is a short signal. In this case, if resistance 194.24 is being tested, a short signal would exist.

Swing Trading Plans for IWM

• Buy IWM slightly over 194.24, target 194.52, Stop Loss @ 193.68 Details

If 194.24 begins to break higher, the technical summary data tells us to buy IWM just slightly over 194.24, with an upside target of 194.52. The data also tells us to set a stop loss @ 193.68 in case the stock turns against the trade. 194.24 is the first level of resistance above 193.415, and by rule, any break above resistance is a buy signal. In this case, 194.24, initial resistance, would be breaking higher, so a buy signal would exist. Because this plan is based on a break of resistance, it is referred to as a Long Resistance Plan.

• Short IWM slightly near 194.24, target 183.32, Stop Loss @ 194.8. Details

The technical summary data is suggesting a short of IWM if it tests 194.24 with a downside target of 183.32. We should have a stop loss in place at 194.8 though in case the stock begins to move against the trade. By rule, any test of resistance is a short signal. In this case, if resistance, 194.24, is being tested a short signal would exist. Because this plan is a short plan based on a test of resistance it is referred to as a Short Resistance Plan.

Day Trading Plans for IWM

• Buy IWM slightly over 194.24, target 194.52, Stop Loss @ 193.79 Details

If 194.24 begins to break higher, the technical summary data tells us to buy IWM just slightly over 194.24, with an upside target of 194.52. The data also tells us to set a stop loss @ 193.79 in case the stock turns against the trade. 194.24 is the first level of resistance above 193.415, and by rule, any break above resistance is a buy signal. In this case, 194.24, initial resistance, would be breaking higher, so a buy signal would exist. Because this plan is based on a break of resistance, it is referred to as a Long Resistance Plan.

• Short IWM slightly near 194.24, target 193.00, Stop Loss @ 194.69. Details

The technical summary data is suggesting a short of IWM if it tests 194.24 with a downside target of 193.00. We should have a stop loss in place at 194.69 though in case the stock begins to move against the trade. By rule, any test of resistance is a short signal. In this case, if resistance, 194.24, is being tested a short signal would exist. Because this plan is a short plan based on a test of resistance it is referred to as a Short Resistance Plan.

IWM Ratings for August 07:

Term →	Near	Mid	Long
Rating	Weak	Neutral	Neutral
P1	0	0	172.14
P2	193.00	194.52	183.32
P3	195.03	197.37	194.24

Support and Resistance Plot Chart for IWM

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