Profit target for this very short term trade setup is within the same price range that might occur with an overall weak wave 5 (second channel line from the top). This increases the probability of striking the target even if my smaller wavecount is off. The strict 1.618 made it easy for me to pick a number in the target range--I am not seriously expecting the price to hit EXACTLY that value. Of course, ignoring iv and holding through till completion of 5 is another approach, and would allow a more conservative stoploss just below P rather than the ultra-tight setup I'm working with. However, this carries with it the risk of the trend reversing before target is hit, and missing out altogether (I'm not convinced we're headed straight to the moon quite yet).
Rrisk/reward ratio 4.41