With today's w4 rally, we are now touching the upper trendline once again (see above). I suspect we'll make one more attempt at it tomorrow, but the indicators are already rolling over. Once the rejection of the trendline is in place (I don't expect any rally to actually stay above ES 780 if it even gets that far), the sell off should actually accelerate to the bottom trendline shown on the hourly chart (not the middle trendline that we touched yesterday).
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Good to see your chart. Got caught on the wrong side earlier. Should have waited PX reached the top channel.
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ReplyDeleteRich,
ReplyDeleteFrom a timing perspective, do you see this happening sometime tomorrow or possibly some sideways movement for a day or two before the plunge? Thanks
Mikey
Steve, it's easy to see in hindsight, but hard at the moment. Your position should be making you money by Thursday if not tomorrow.
ReplyDeleteTina, thanks for your kind words even if you couldn't keep them ;-)
Mikey, my best guess would be for a reversal tomorrow morning. My 2nd guess would be by tomorrow afternoon. If that doesn't happen, then I may have to re-evaluate things.
Rich,
ReplyDeleteGreat work as always. Wave fours tend to be one of the hardest waves to trade for me. Do you trade diffrent waves differently?
Well pedram, I wish I could say I trade all waves perfectly. In fact all corrective waves are hard to trade for me. Failed 'c' waves happen all the time and call for quick reversals. I have massive profits wiped out instantly in these situations (very discouraging btw). One of these days I'll stick to only daytrading during corrective waves, but it's so hard when you think you have the right setup for a big 'c wave' move. All I can say is be prepared for failed c waves and always use stops.
ReplyDeleteHey Rich,
ReplyDeleteYeah got stopped out twice today...but seeing as everyone and their mother was in a bear position, it seems right that the market would humble us all. Now people seem to be wondering if this wave goes to the 800-820 area before the descent.
Mikey, I think the move is over, but we won't know for sure until we break 751.
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