The dax also took out the previous bottom at the August crash low.
2 scenarios are now on the table:
- either the 4th wave ended at the C wave high at 10.500 and we have resumed the decline
- or this 4th wave is puttin in a more complex expanded flat. In this case the violation of the previous August low is premitted since in a flat, the B wave can retrace more than 100% of A.
If we stop in this general area without going too much down, there is a chance to see another vicious ramp back up to 10700-10800. If not, the bear is back for good and we should head a lot lower from here.
The mcm proprietary signals are signaling increased risk for downside action. Another evidence that the bear is back:
Good luck to your trades!