There is now a simple way to count five non-overlapping waves down on the ES futures 4-hr chart below in a bit of a wedge shape from the truncation top, as follows. (Once again, please ignore the absolute degrees of the waves shown; these are just for relative size at this time.)
Note the wedge shape is only that - a shape. I do not believe at this time it would be a diagonal. It has an extended third wave, and a non-overlapping 4th wave. It is not anywhere near certain, clear or confirmed that the fifth wave is done. With the longer third wave, the fifth wave is free to extend if it wishes.
Keep in mind on the daily chart, price is currently below the lower daily Bollinger Band. The bias is still lower, and the daily slow stochastic is in over-sold territory. In my head I could almost imagine that Ira would say something like, "this is normally a place where the Smart Money might take some profits off the table". This is not trading or investment advice - just some context.
Have an excellent rest of the evening,
TraderJoe
No comments:
Post a Comment