EEM just broke 50 day for the first time after quite a while.
I think the downside wave is finished, as wave 5 reached the 1.618 extension of wave 3 perfectly. If price in the next few days breaks above upside wave 1 I think it is a great time to go long, because wave 3 is usually the strongest and most impulsive wave.
The downside wave 5 also hit and bounced at the 200 weak moving average and the yearly pivot points S1.
Targets for this long trade is drawn on the chart.
Invalidation of this trade is the break down of previous low ~37
Stay safe traders!
I think the downside wave is finished, as wave 5 reached the 1.618 extension of wave 3 perfectly. If price in the next few days breaks above upside wave 1 I think it is a great time to go long, because wave 3 is usually the strongest and most impulsive wave.
The downside wave 5 also hit and bounced at the 200 weak moving average and the yearly pivot points S1.
Targets for this long trade is drawn on the chart.
Invalidation of this trade is the break down of previous low ~37
Stay safe traders!
Comment:
The price action seems to not support the bullish trade. We will re-evaluate when price breaks below prior low. If that is the case, then it is a 3 wave ABC correction.
