Price has completed a strong advance and is now showing corrective, overlapping behaviour 📉, suggesting the impulsive move is likely complete. The current pullback is being treated as a developing wave ii, with the preferred interpretation being a flat structure 🔄.
At this stage, patience is required ⏳. Rather than anticipating continuation, the focus is on allowing wave ii to fully form, which also aligns with the possibility of a higher-degree wave (ii) taking shape.
🎯 Wave ii Expectations (Key Points for Readers)
- 📌 Wave ii often retraces deep following a strong impulse
- ✅ Wave structure completed:
- 5 waves down ✓
- 3 up for wave a ✓
- 3 down for wave b ✓
- 5 up needed to complete wave c (marked in Fib extensions on chart) 📈
- 🔍 The Fibonacci projections highlight multiple reaction zones, reinforcing price development before bearish continuation confirmed
⚡ Execution Approach (Kept Intentionally Conservative)
- ❌ No short position favoured until wave ii shows clear signs of completion
- ✅ The preferred scenario is:
- Wave ii completes ✓
- A clean impulsive move lower (wave (i)) follows 📉
- Any subsequent corrective bounce (wave (ii) of lower degree) offers a higher-confidence continuation entry 🎯
This approach reduces exposure to premature entries and allows for confirmation through structure, not prediction.
⚠️ Risk & Uncertainty (Important to Communicate)
- 🔀 Corrective phases are inherently flexible
- 💭 There is room for alternative interpretations while price remains corrective
- 📍 Bias remains conditional, not fixed
- 🚨 Only a sustained impulsive move beyond the recent high would weaken the bearish scenario
- ✋ Until then, the market is treated as corrective
📋 Summary for Readers
| Metric | Status |
|---|---|
| Bias | 🐻 Bearish, but patient |
| Focus | ⏳ Completion of wave ii |
| Strategy | 🔍 Wait for structure confirmation before committing |
| Goal | 📊 Reduce error, improve risk alignment |
