I realize Russell 2000 is down over 5% in AH trading, but thought I'd post a reminder of my big picture expectations. Certainly possible wave (4) isn't complete, and the probability increases if IWM
sees the 90s again. In this case, recent top labelled green 1 would represent a b-wave or x-wave in a longer correction (not depicted). Given the 5-wave
structure of this year's rise, my base case remains the green count.
A low in coming days with positive divergence could set up a powerful 3rd wave, perhaps on the back of new shorts chasing the the Brexit crash...?
Disclaimer: I'm in cash with my long term account since April
, but short via IWM
vertical put spreads since the recent top. So, neutral on this time frame.