If my EW count is correct then the ABC correction of the first 5 waves up has ended and now we should go to ~ 9.4K.
Comment:
For me, a break with volume above 8.4k is a buy signal.
Comment:
If i am right then this scenario is very bullish because wave 2 (the ABC correction) did not even touch the 0.382 level.
Trade active:
9k potential target but i'll probably take profit at 8.9k. My stop loss is at 8.3k.
Comment:
We are now forming the 3rd wave of the 5 waves up to ~ 9400 (or higher?!). The 2nd wave retraced very little so according to EW theory the 4th wave should retrace a lot more so this is the reason why i will close my trade and i will not keep it active until the end of the 5th wave. Assuming i am right, wave 4 should retrace to the high of wave 1 which should be a good buying opportunity.
Trade closed manually:
I closed the trade early because i don't think we will go above 8.7k anymore.
Comment:
My count is wrong. I now believe that the 5 five waves up end at 8712 and not at 8465, like i drew them. I will post an updated chart when see a possible end of the ABC correction that we are in right now.
