Looks like wave C is finally getting underway and has plenty of room to the downside. Many of my momentum indicators on the 4hr and Daily charts are firmly down. However, on a short term basis, 30min charts, the market is oversold. The structure of the decline suggests further levels will be achieved before any meaningful bounce occurs so my bias remains bearish.
I drew some fibonnacci retracement levels for the move up from ((x)) to B to get an idea of where the market may pause and bounce. I'm looking for around the 78% level at 1914 to conclude wave ((iii)), but 3rd waves can extend well beyond what's expected so by no means am I trying to get long there. It's just an area I'll look to take some profits and perhaps lighten up some risk.
The trend remains firmly down as long 2090 is not broken, but preferably I'd like to see 2055 remain intact to keep the series of lower highs in place.
PLEASE NOTE: THIS IS JUST AN ANALYSIS BLOG AND IN NO WAY GUARANTEES OR IMPLIES ANY PROFIT OR GAIN. THE DATA HERE IS MERELY AN EXPRESSED OPINION. TRADE AT YOUR OWN RISK.
