Another Interesting Chart

Considering how many stocks on the watchlist are forming the top of right shoulders in a H&S top like PCLN or NFLX, the confirmation in the broad market (and the R2K is one of the broadest measures, that's why Bernanke use to always reference it rather than the more household Dow or S&P) is not only interesting, it's exactly what you want to see being the market of stocks will follow the stock market with the broad market having about 2/3rd s of the directional influence which is a fact that comes right from the S_E_C's website.

 A H&S needs a prior uptrend and often they are proportional, the IWM is right at the top of a right shoulder like so many other assets we have seen over the last 2 weeks. Volume is huge here considering the IWM really hasn't gone anywhere and is in a stage 3 lateral trend/top.

 Of course the 3C daily chart doesn't hurt to confirm what underlying institutional trade has been during this time...

And my award winning (it was an expensive bottle of champagne) Trend Channel held the uptrend for over a year without a single stop out until the red arrow at the H&S...