We all know the talk that is going on everywhere about us being in a new bull market or primary wave 2. This next down wave is important for solidifying the bull or the bear. Our move down so far has stayed within our 25 pt symmetry (2 of them). So, the bears have yet to prove themselves by breaking down. Should we rally tomorrow expect selling to come in at the 34 SMA (60 min). This would most likely count as a subminuette wave b. Our wave c should close out in the 1170 area, which would never give us a confirmed weekly reversal.
If price continues to break down before testing the hourly 34 SMA, then we will be looking much more impulsive to the downside.
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