For me, trading is about thinking 2 steps ahead.

The bigger picture is dipping into the imbalance left by the pro buying. That’s below 1.0708.

With that said, the 25% line is at 1.0729 and a small fake-out could be all you would see from the Wave3.

A Wave 4 would likely pull back to the upper guard rail; picture a mirror image of the following.

Now, on the way down the base case is still a 25-50 pips beat. Which in theory could mean a near miss of the 1.0708 level this time around. There may be a shallow dip below or a halfway mark, but then you would see a 125-175 pips correction back up.

The second magenta strip is missing.

The upper guard rail is around 1.0890 currently. An ABC pullback beyond that would keep the wave structure going, and the Wave5 would finish what the Wave3 could not muster.

The guard rails are 1 fluctuation maximum away from the E-9 band. On the 4H this is the 52-EMA high to low plus minus 38.4 pips.

---

The Zero Sum Fun is out.