LIN price chart is in a position which suggests several alternatives in terms of Elliott waves and we have to be careful now !.
Please keep in mid that when we are in world of Elliott waves we are dealing with possibilities not certainties.
I published an idea about LIN with possible 215 and 200 short targets. These targets may still be valid but now we have some alternatives.
Looking to the chart, We find that LIN showed a 5 leg down going wave from top of what has been labeled as wave 2 or B. This down going wave shows extended wave 1. 0.382 Retracement of related wave 2 supports the possibility of extended wave 1 in this down going wave so a trade above circled wave 4 proves the completion of this impulsive 5 leg down wave.
Now, What are our alternatives ? :
1. If price cannot take out 278.17 circled wave 4, then we will see more decline in upcoming path and enjoy more from our short position.
2. If price can take out 278.17 circled wave 4 ( As pre-market data suggest it) , then we have two alternatives again :
First : Completion of the flat correction : As wave 2 or B retraced back 0.786 of wave 1 or A and this Retracement level is typical for waves B in flat corrections, we may have flat correction with wave C slightly below wave A.
Second : Completion of wave 1 of C or 3. In this case LIN is just making a counter trend correction to the last declining wave and there may be another short setup later.
As there are many alternatives right now, I decided to be in safe position and move my stop loss which is now take profit to above last minor high which is 278.17. What happens next? we have to be smart and watch carefully.
Good luck everybody
Please keep in mid that when we are in world of Elliott waves we are dealing with possibilities not certainties.
I published an idea about LIN with possible 215 and 200 short targets. These targets may still be valid but now we have some alternatives.
Looking to the chart, We find that LIN showed a 5 leg down going wave from top of what has been labeled as wave 2 or B. This down going wave shows extended wave 1. 0.382 Retracement of related wave 2 supports the possibility of extended wave 1 in this down going wave so a trade above circled wave 4 proves the completion of this impulsive 5 leg down wave.
Now, What are our alternatives ? :
1. If price cannot take out 278.17 circled wave 4, then we will see more decline in upcoming path and enjoy more from our short position.
2. If price can take out 278.17 circled wave 4 ( As pre-market data suggest it) , then we have two alternatives again :
First : Completion of the flat correction : As wave 2 or B retraced back 0.786 of wave 1 or A and this Retracement level is typical for waves B in flat corrections, we may have flat correction with wave C slightly below wave A.
Second : Completion of wave 1 of C or 3. In this case LIN is just making a counter trend correction to the last declining wave and there may be another short setup later.
As there are many alternatives right now, I decided to be in safe position and move my stop loss which is now take profit to above last minor high which is 278.17. What happens next? we have to be smart and watch carefully.
Good luck everybody
Comment:
We had new low today which confirms completion of wave 1 of C or 3. Currently LIN is in wave 3 of 3 of C or 3 which means it has much more room to go lower.
