Market Outlook RUT for Dec 3rd '07

Dominant TF: Daily, and 15mins (not shown).
Swings: UP-UP-DN (from UP-UP-DN)
Market direction: Congestion to Up.

Interesting to see that like the other 2 symbols under study, RUT had to reach PR1 and stall level around 780.

60mins: Congestion.
Same as previous post: MTFS Pattern is unclear but parallel and slightly downward MTFS lines tend to indicate congestion, and Entropy has also peaked.
Upward bias might vanish soon. In such case, check Fib support levels.

Daily: congestion to mildly up
This early MTFS crossover is very seldom conducive to a definite change in direction. A congestion is likely, and RUT should try and find a stronger base for support. In some cases, it indicates a failed recovery, but one can assume 750 would offer a strong resistance to bears.
RUT indeed seems to show evidence of a cycle turning point, so any retracement should be limited (757, and 750 in the worst scenario)

Weekly: return to the trading range, but lower bias still.
We're now back in our [750-875] range, and still pretty much directionless. It will be interesting to see whether RUT closes the week over the lower end of the channel (~763). It seems that the 'double top' scenario is now a little more remote, but we should wait for the bar to at least change colour first. Until then the bias remains down.