While the red path was taken starting from pretty much exactly where the model indicated it should, it's still a bit too early to say for sure that red 5 is done. The recent thrust could just be 1 of 5, the subsequent bounce to today's close at $10.44 could be 2 of 5, etc. So this will either gap down into 3 of 5 tomorrow on its way to $8 or it will put in a 5th wave up and set us up for a breakout of the falling wedge shortly thereafter.
We are again at the point where the markets are at significant danger of breaking down. A spike higher for interest rates would be like a gunshot in the ear of the leveraged longs.
Of course we have nothing until we have some kind of confirmation which we have none of right now. The confirmation we are looking for is a break above the top rail of that falling wedge and the ability to hold it.
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