<p class=“MsoNormal“>On the daily chart below for the Russell 2000, we can
see that after finding a strong <a target=“_blank“ href=“https://www.forexlive.com/Education/technical-analysis-support-and-resistance-20220405/“>support</a> at the 1731 level, the price has
rallied all the way back to the top of the range at 1800 and it’s now threatening
a major breakout. </p><p class=“MsoNormal“>The <a target=“_blank“ href=“https://www.forexlive.com/Education/technical-analysis-understanding-moving-averages-20220425/“>moving
averages</a> are still crossed to the downside, but a break above the <a target=“_blank“ href=“https://www.forexlive.com/Education/technical-analysis-trendlines-20220406/“>trendline</a> should make them cross to the
upside confirming the new bullish trend. This is where the sellers should pile
in with defined risk above the trendline and target the break below the 1731
support. </p><p class=“MsoNormal“>Russell 2000 technical analysis</p><p class=“MsoNormal“>On the 4
hour chart below, we can see that the price is probing out of the range as the
price is trading above the top of the range. The buyers will now have lots of
strong barriers like the trendline and the 50% <a target=“_blank“ href=“https://www.forexlive.com/Education/technical-analysis-using-fibonacci-retracements-20220421/“>Fibonacci
retracement</a> level. </p><p class=“MsoNormal“>They will
need a clear break above all of those resistances to invalidate the bearish
setup and start targeting the 1900 level. The sellers, on the other hand, are
likely to pile in here as the risk to reward ratio looks very good for them. </p><p class=“MsoNormal“>On the 1 hour chart, we can see
that the price is still trading within a rising channel. More conservative
sellers may want to wait for the price to break below the lower bound of the
channel before considering new shorts, while the aggressive ones should be
piling in here. </p><p class=“MsoNormal“>The buyers will need a break
above the upper bound of the channel, the trendline and the 50% fib level to
get the conviction to target new higher highs. </p>
see that after finding a strong <a target=“_blank“ href=“https://www.forexlive.com/Education/technical-analysis-support-and-resistance-20220405/“>support</a> at the 1731 level, the price has
rallied all the way back to the top of the range at 1800 and it’s now threatening
a major breakout. </p><p class=“MsoNormal“>The <a target=“_blank“ href=“https://www.forexlive.com/Education/technical-analysis-understanding-moving-averages-20220425/“>moving
averages</a> are still crossed to the downside, but a break above the <a target=“_blank“ href=“https://www.forexlive.com/Education/technical-analysis-trendlines-20220406/“>trendline</a> should make them cross to the
upside confirming the new bullish trend. This is where the sellers should pile
in with defined risk above the trendline and target the break below the 1731
support. </p><p class=“MsoNormal“>Russell 2000 technical analysis</p><p class=“MsoNormal“>On the 4
hour chart below, we can see that the price is probing out of the range as the
price is trading above the top of the range. The buyers will now have lots of
strong barriers like the trendline and the 50% <a target=“_blank“ href=“https://www.forexlive.com/Education/technical-analysis-using-fibonacci-retracements-20220421/“>Fibonacci
retracement</a> level. </p><p class=“MsoNormal“>They will
need a clear break above all of those resistances to invalidate the bearish
setup and start targeting the 1900 level. The sellers, on the other hand, are
likely to pile in here as the risk to reward ratio looks very good for them. </p><p class=“MsoNormal“>On the 1 hour chart, we can see
that the price is still trading within a rising channel. More conservative
sellers may want to wait for the price to break below the lower bound of the
channel before considering new shorts, while the aggressive ones should be
piling in here. </p><p class=“MsoNormal“>The buyers will need a break
above the upper bound of the channel, the trendline and the 50% fib level to
get the conviction to target new higher highs. </p>
This article was written by ForexLive at www.forexlive.com.