An ending diagonal always appears as wave 5 of an impulse or wave C of a zigzag or flat.
Waves 1, 2,3, 4 and 5 of an ending diagonal always subdivide into zigzags.
I see zigzags within wave 1,2,3, and 4. Invalidation level at wave 2.
We are back to Chinese trade tensions with Chinese companies possibly to be delisted from the NASDAQ and Hong-Kong protests back on.
If we want to see a pullback on US indices, I am convinced this will depend on the USD. The demand and surge of it will mean pain for equities.
With that said, I can see 5 waves to the upside in micro degree to complete a...
This has the chance to play really well.
I see two scenarios.
One, this fails against the previous high and starts five waves to the downside.
Or two, makes a slight higher high, which is quite normal price action in FLAT types of correction, and from there five waves down.
Waiting on the NASDAQ to play this.
Current count holds on to the possibility of a relatively short to medium term reversal.
Last move, if true, should NOT go past the 1:1 ratio of submicro wave 3.
This is to satisfy rules for a contracting ending diagonal.
Submicro waves must be 1>3>5 and 2>4.
Count invalidation at ~9640.
Pulling a fibonacci retracement off of a high price made in extended hours and really like the sell action right at the golden pocket.
High risk play but a really tight range here, 400 puts 1 week out.
Great support area for minor 4 around $68-$67.
While bearish in the overall market in the short term, have to consider the fact videogames MUST be doing great in this time.
And so, projecting a short lived downside before the dip is bought.