IWM ETF Drops 4.5% from 52-week High Amid Trump Candidacy Probability Decline to 60%

The iShares Russell 2000 ETF (IWM) has experienced notable volatility recently, with a decline of 4.5% from its high of the week. This drop coincides with a decrease in the probability of Donald Trump's presidential candidacy, which fell from approximately 70% to 60%. Earlier in the week, IWM had reached a 52-week high before dropping 2.3% on July 18. Despite this pullback, there were indications of recovery, with reports of IWM moving from red to green later that day. Traders noted the ETF's relative strength index (RSI) hit 93 earlier in the week, indicating overbought conditions. As of July 19, IWM had pulled back 4.4% after a significant rally, with some traders adding to their positions in anticipation of a rebound.