The above chart shows that I was looking for an up, down sequence to complete a w.C=w.A move to 23.47. That didn't happen. However, that doesn't mean that my count is invalidated. The count invalidates on a print above the w.(1) low of 31.222 due to the fact that in motive waves, w.(4) never moves beyond the end of w.(1). Yet, other clues suggest this interpretation is wrong. Here's why.....
- Applying time factors diminishes the probability of this count as the length of time consumed by w.(4) is much longer than w.(2). W.(2) is 8 bars long while w.(4) has reached 41 bars and is still incomplete.
- From a proportional view, w.(4) is much larger.
So what are the other scenarios? Are we in full bull mode or is this a counter trend move that will be fully retraced?
The alternate that I offered in my initial post has been applied to the weekly chart level as it's possible that the alternate scenario will play out and if so, price will make new lows. The fact of the matter is that it doesn't really matter if this market is in full bull mode because I'm looking to buy this market anyway and the location of my entry as well as my stop placement is what matters.
Once this advance ends the next move down will tell all. Should it be in three waves, I'm a buyer against the lows. If the decline is in five waves, then I'm a buyer at lower levels.
As always, I'll continue to monitor this chart and provide updates so that you can learn how I'm applying Elliott Wave Principle.
Best of Trading
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