In my previous chart (over 2 months ago) I suggested a long trade which materialised but from little lower lever;.
That long trade was a retracement of the previous strong decline which bottomed at 91.70 in Late January.
That low could be potentially larger Wave A low and we have almost completed a retracement in the for of abc zigzag. If correct then we are in final stage of wave "c" namely minor wave "v" of C.
Hence a short could be considered
Technicals:
1. Near completion of abc zizgzag retracement with wave v of c in final stage. 2. Wave a or abc zigzag = wave b just short of 38.2% retracement of previous decline (see daily chart below) 3. Potential RSI divergence could form. 4. Break of minor rising trend channel could confirm resumption of downtrend.
Downside target could be 91.70 low or new lower low.
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