If you draw your trend lines from the breakout at 4k to 5k all the way to our top (14k) you'll see the channel we've created over the past 3 months. Then draw your lines from 14k down and you should see the falling wedge. Now use Elliott Wave and you'll see all analysis cross paths some time between the 5th and 6th of july at around the 9.35k to 8.8k area as your entry/buy zone that i have circled in red on my chart (If you don't see the falling wedge use wave 1 & 2 to draw your lines). I've measured the other points on the bottom of our trend line where we actually fell out and each time it was between 4% - 7% of a wick then we pulled back up and continued our uptrend. If we do have a 7% wick from our bottom on those days it actually goes and closes the futures gap we have at that level as well. If you overlap the Fib chart from the bottom of the bear market to 14k you''ll see this same area also lands smack in the middle of the .5 fib and the .386 fib with the .618 fib lining up down at 7.2k which was my extreme correction case scenario to fill the gap down there (which i don't believe will happen).
Happy Trading :-) and check out my other 2 published charts for more of my TA explaining where I believe we are heading.
Happy Trading :-) and check out my other 2 published charts for more of my TA explaining where I believe we are heading.
Comment:
If we break our next 2 highs at around 12.1k and 12.4k then my theory goes out the window. Until then my charts are still valid because we've only succeeded in creating another lower high.
Comment:
Chart is still valid. We did not make a higher high.
Comment:
BUY ZONE TARGET HIT!
Trade active:
Could still drop lower to 8.5-ish but I never wait for exact prices because your risk for missing the reversal becomes higher when you're being greedy.