We are in a corrective Elliot Wave phase, which means the correction from the last impulse wave up (wave 5 @ 12200) MUST equal out to a full retracement per EW rules.
Now... Since we already know for a fact where A and B is on the corrective wave, the fib trend from the top of 5, then to A and then to B is exactly a 1:1 which it is required to be. That 1:1 retracement happens to coincide with not only our trend line, but an MA. Which means full retracement on the corrective wave down MUST be at 8400 before the next impulse wave up.
Mark this...
This is in the books as far as I'm concerned.
You can either short from here and ride out the local impulse waves down to 8400, or wait till 8400 to long up to top of descending wedge.
Good luck
Now... Since we already know for a fact where A and B is on the corrective wave, the fib trend from the top of 5, then to A and then to B is exactly a 1:1 which it is required to be. That 1:1 retracement happens to coincide with not only our trend line, but an MA. Which means full retracement on the corrective wave down MUST be at 8400 before the next impulse wave up.
Mark this...
This is in the books as far as I'm concerned.
You can either short from here and ride out the local impulse waves down to 8400, or wait till 8400 to long up to top of descending wedge.
Good luck