Metals ending diagonal theory gets a big shot in the arm.

In this post it struck me that the best wave count would be had by an ending diagonal in the metals.  Today we saw a big break down in silver that happened right at the expected chart location.  In USLV of course it was more dramatic - 9% at one point.  This might be just the beginning.  You will know this model is bust if at any time the chart goes back up above the top green line. If it can do that then buy with both hands because a 3rd wave is breaking out and a new metals bull is upon us.

But the chart below is even better still.  If you missed the recent run in metals then sit patiently for the chart to fall below the lower rail in what should be an a-b-c, 5-3-5 pattern.  When it does, then pounce.   The recent move up for USLV was 50%.  It should give it all back and then some in order to complete the metals bear.  When it takes off again, an easy 5-6 bagger will be in store for those who patiently wait and see it coming.

Again, this is not confirmed yet.  The chart has to continue down and at least touch the bottom rail and better still, break through it.  The when it comes back up into the channel you buy and then you set tight stops just below the channel.  Then just go about your life.  If the model is wrong you will get stopped out quickly and cheaply and I will post another entry point.

It can't go down forever and the more it goes down, the richer those will be who catch the bottom.  This is why they can't let it go down too far.  They can't let you make 40x on the next metals bull.  The have to allow a rally.

Please keep in mind that today's dramatic reversal was designed to screw as many people as possible.  There is no way I would have known to look for this top if not for Elliott waves.  Again, keep an eye on that top line.  If it cannot hold the chart inside then odds are very high that the next bull has started.