Bearish Double H/S Scenario (~$5850 target)
Updated
As we complete the fifth wave of this rising wedge, we should expect a series of ABC corrective waves. The corrective A-wave would complete the head of the smaller H/S. A bounce off the neckline would likely paint up to the bottom/middle of the purple accumulation zone, completing the B-wave. A harsh C-wave would drive us through the smaller H/S neckline, and bring us down to the bigger H/S neckline (and orange resistance turned support). After the ABC corrective waves, we might expect a bounce off the H/S neckline to the white resistance and the (smaller H/S neckline. Then a drop back to the bigger H/S neckline would complete the bigger H/S.
Comment
We are close to finishing the head of the smaller H/S. Would be careful trading anything here.Trade closed manually
Looks like we will be entering some seriously volitatlity in the coming days, can not be certain in which direction yet.Comment
Similar scenarios I could expect to happenDisclaimer
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