Well in spite of the lack of upside progress, so far there is nothing to concern the bulls in the downward price action. The big test should come tomorrow in what appears will be a gap down. There are plenty of wave parity ratios below that will likely find some buyers. They are 1197 (c=a*.786), 1194 (c=a and should come in at the channel trendline), and finally 1189 (c=a*1.382, which also comes in at the .786 retracement of the current wave high and our key support area). If price gets through there, then we should really see some selling.
As for my calls, I will be selling them on a break of today's highs, but I will look to hedge in the 1189/1194 areas just in case. The bearish count is my alternate, but it's always a possibility. If we break 1188, then I'll be looking to add to my calls.
Posts
