Through this whole project of explaining my observations and theories on crash norms we've mainly looked at the more pessimistic point because we've been looking at topping and braking signals, but I did also do a lot of work on bottoming signals as well. As often as I am called a perma-bear, I put a lot of effort into finding rules to optimise "Buying the dip".
The strongest signals I found for lows were lows will tend to be a slight overshoot of the 423 extension from a small topping swing. Especially if you can clearly see the price action triggering the 161 break and capitulation signal (And it could not be more obvious than it is here).
We can usually estimate how far the spike out will go once we have our failed reversals (Which we have in wicky candles at the lows now) - we can fib these and use the 161 extensions.
Support comes around the 161 extension and then once the 423 is reclaimed it will hold a retest and an uptrend begin.
This is how a low is usually made and what I'd expect to see if this is going to turn.
It's very rare a move extends all the way to the 423 and does have not have a sizable bounce or full correction. Every time this happens a fib fairy dies - and often hyper capitulation can come. So 85 level or so could be critical for the GILTs.
The strongest signals I found for lows were lows will tend to be a slight overshoot of the 423 extension from a small topping swing. Especially if you can clearly see the price action triggering the 161 break and capitulation signal (And it could not be more obvious than it is here).
We can usually estimate how far the spike out will go once we have our failed reversals (Which we have in wicky candles at the lows now) - we can fib these and use the 161 extensions.
Support comes around the 161 extension and then once the 423 is reclaimed it will hold a retest and an uptrend begin.
This is how a low is usually made and what I'd expect to see if this is going to turn.
It's very rare a move extends all the way to the 423 and does have not have a sizable bounce or full correction. Every time this happens a fib fairy dies - and often hyper capitulation can come. So 85 level or so could be critical for the GILTs.