AS Skluck would have it, that is just what we are seeing today and I think a significant bottom is near for UVXY. This means that DJIA and $COMPX are likely headed for a bit of a swoon.
Zooming in to just green 5 we find that it is a fractal of the entire decline since July 6th. 25.50 could be the near term bottom here but an end of day close in the $25 range would be ideal. The blue bar represents the length of blue 1. A rule of thumb is for wave 5 to be equal in length to wave 1 when wave 3 is extended and wave 3 was extended. The red bar is the length of red 1 with a similar application of the guideline but at one degree higher. They both point to a bottom in the high 24, low 25 range.
I will be watching this through the day. If I see a clear 5 down then I will pull the trigger but if it just continues to drift downward into the close then I will buy the close. If we see a reversal and then it goes green on the day, buy the first dip you get after that point.
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