I think [NEM] could likely have bottomed

In the backlink I was open to the possibility that NEM was ready to break out but also had a clear trigger level which would tell us immediately when the model was proven wrong.  The chart either had to reverse upward immediately while there were still only 3 waves down or the model would bust.



And so the model bust.  To ensure you have your bearings, blue 3 below is the low point in the chart above.  Blue 4 below is the back test of the trend line from below in the chart above.  So you can see how 3 down from above has now turned into 5 down on the chart below leading to blue 5 and a very clean 5 waves down from the peak.  Then it put in a small but important double bottom.

The trade here is easy.  If this goes to a lower low on Tuesday following Labor day holiday, the 5 down we just saw was only 1 of 5.  This is still possible!  But if that double bottom holds, and I think that it likely will in order that blue 5 does not get massively larger than blue 1 then buy at the open an set stops right below the double bottom.  Very little risk for lots of reward.