The current snapshot has updated wave labels but that is normal for a major turn. What is important is that the direction remains similar to the model and so far it does.
Where I tend to provide a bit more value and insight than many other EWers is in looking at charts from both sides of the equation. I have clearly been on bottom watch for UVXY as can be seen in the backlink's model which is reprinted below.
As you can see, the chart did break down into what I had been expecting as red 5 but it did not have the strength to do a throw under. Instead, it formed a slightly inclining double bottom which I interpret as a failed 5th. This suggests that the current rally is more than the usual sucker's rally in UVXY and so I bought the first dip today at $25.80. My stops are set for 25.50 but I do not think they will be taken out this time.
Minimum target price now is $50 and it could go much higher. We will know that "much higher" is becoming more likely if we can finally see my 500 point down day for the DJIA. We need to see some real panic. It would help the case if Intel's H+S would break down and if IBB would finally put in 5 clear waves down. Also, a gap up for TNX into a clear 3rd of 3rd could send gamblers into a panic as well.
No comments:
Post a Comment