[$COMPX] update showing potential for 4th wave action.

In this this backlink to S+P 500 and others I introduced the potential count of a 4th wave being in progress for the broader markets.  Below is the $COMPX chart which would correspond to that potential count.

The triggers here are simple and simplicity is one of the really nice things about 4th wave HTs that have finished the D wave.  We now have two points along the top rail and two along the bottom.  Hold long UVXY until either the top rail of $COMPX (or DJI or S+P) is broken OR until the bottom rail is broken to the downside and then broken back up into the channel as shown by the red model.

If the lower rail breaks down and then the red a wave is also broken down, the triangle model is bust and something immediately more bearish will be unfolding.  In that event we would likely see 3rd wave action hit the markets.  Again, this is trading Nirvana because you don't have to think about very many what ifs.  There are only a couple cases that you care about and the recommended action associated with each one is very clear.

So again, I am not saying that this is a 4th wave HT but I am saying that I can tell you when it is not one and whether the near term implications of of this not-ness are likely to be bullish or bearish.  Anyone looking for something more than this from the charts is childish in his/her thinking.  Gambling is about playing the odds and EW simply helps the chartist get better odds than going at it using gut feel.