RUT: Dancing on the Neckline

The RUT is starting to create a head and shoulders pattern, but appears too weak so far to even create a right shoulder.

Looking at the weekly chart, bulls got excited about the bottoming tail created last week, but thus far it's been negated. Another down day tomorrow (Friday) could take it out completely. The rising wedge pattern continues to work, and a retest of the prior lows on the weekly near the 410 area becomes more of a probability.

RUT lost 460 support earlier this week, but lets see if it can hold on to 440. Without 440 it's a straight shot down to 410 on the weekly chart.

RUT Weekly Chart:



RUT Daily Chart:



RUT Monthly Chart:
The bottoming tail from December has yet to generate a strong reversal.