In October, Russell 2000 futures (TF) completed a major topping pattern indicating the trend was down and rallies were shorting opportunities. After rallying in late October and then stabilizing in November, a December decline has produced the sell signal.
In late November the price topped out in the same region it did in September, below the February and July highs. The November consolidation provides the trade trigger. The index futures were trading between 1194 and 1144.3 (March contract). The low of the consolidation was broken on December 12, initiating the sell/short. Pending orders can still be placed as the short trade remains valid.
Those on the short side can be place a stop loss above 1194. The first downside target is 1060, which is right at the top of a support zone that reversed the price (higher) in October.
Longer-term targets, based on the prior topping pattern, are between 980 and 940.