Wave C of 2 needs one more rally higher towards the 1,158- 1,164 area to end.
Wave iv of C has become and ascending triangle. Triangles can only occur in wave 4 or B. This is clearly not a B-wave, therefore this has to be wave 4. The rally in wave C also appears to be impulsive as one would expect. Shorting in the 1,158 - 1,164 area should represent a nice risk/reward opportunity. I would place a stop at 1,184.
Hi,
ReplyDeleteI'm wondering if you are considering the idea that 4 was the low on the 23rd and that we are in an ending diagonal for 5?
Jem
Hi Jem,
ReplyDeleteYes that is a possibility too, but if you look at the relationship between wave 1 and wave 3, you will see that wave 3 became 4,236 times longer than wave 1 at 1,148.24 on September 21. and everything since then has been three wave moves, which leaves both the ending diagonal and the ascending triangle count as possibilities. In both cases you should see a move up to 1,158 at least, but the triangle will open up for a move to the 1,164 area. No matter which count is the correct the outcome will be the same. One more rally higher is needed to end wave v of C.
Regards
EWS