We left with the previous article pointing out the presence of a triangle.
I certainly had my mind set on a bear flag and a lower low first to complete the Wave 4 before the final move up.
The weekend open and shallow dip was particularly tricky, for with the increased spread (10 pips or so) you could never take advantage of it, the lowest fill would had been 1.1838 despite the bid chart showing 1.18292.
What are you looking for on the upside when a terminal wave is printing?
Although the Energy Bands were not able to keep up with wave Wave 3, they managed to catch the top of Wave 4 and Wave 5 came rather close to it, so they could have helped a bit.
What else? Symmetry perhaps:
The most recent stretches went to about 4x stretch from the mean. Price came close to this as well – with volatility dropping away a bit.
Yet another near miss was the overdrive-line.
Could we still get a beat after this 4-H exhaustion? Perhaps… price is still in the overbought. But I’m not expecting it, for the whole structure to the upside was of the corrective kind, an A-B-C – see the abundance of the overlaps.
The two extension (projected distance) lines were the best clues, as they got their fill and 7-pip of extra beyond. Price seems to be interested in the trend line once again for a back test.
The overbought neckline is now in line with the last swing low @ 1.1710. I expect that low to be tested next.