1. The Russell indices are scheduled to execute their annual rebalancing on Friday, so those of you trading the iShares Russell 2000 ETF (IWM), or any of the other Russell Index products, should be prepared for some high volume, and potentially erratic price movement toward the end of Friday's equities session. If you aren't trading stocks heavily affected by the rebalancing, or the IWM itself, this index event will probably have no effect on you. But if you trade smaller cap names, be sure to pay attention to any buying or selling imbalances toward the end of the session.
2. Several days ago I suggested energy traders keep an eye on Chevron (CVX), as it appeared to be holding its late January low. Unfortunately, like nearly all stocks connected to oil and gas, it slipped through support and is once again trending lower on all timeframes. I'd be lying if I said I was hopeful the sector would catch a bid anytime soon. Nonetheless, this stock, along with ConocoPhillips (COP), is one of the two names at the top of my list when the selling stops.
3. The Industrial Select Sector SPDR Fund (XLI) had been bouncing rather consistently between its 150-day and 200-day exponential moving averages. But that all ended on Thursday, when the ETF sliced clean through the 200-day EMA, and closed at a new five-month low. Setting aside that ugly look of XLI's chart, I would note the price support from mid-January in and around $54. Perhaps a bounce from near $54 toward $55.50 would offer an opportunity for short sellers to re-engage.
Any trading or volume profile related questions can be posted in the comments section below, emailed to me at firstname.lastname@example.org or posted to my twitter feed @ByrneRWS.