Very little has changed on the daily chart which remains locked in the middle of the 5-month range. Dropping down to the 4-hour chart we’ll discuss 2 bullish options and 1 bearish. Base Case: the 3 wave rally from 100.82 to 102.80 was part (“w”) of a w-x-y rally to the mid 103’s. This move can complete the D leg of the large coil from Jan. Alt. bull case: the 3 wave rally from 100.82 to 102.80 completed the D leg of the triangle and the 3 wave (corrective) pullback to 101.61 completed the final wave-E. This would imply a major low in price has been attained. (not our base case because of less than idea proportionality) Alt bear case: : the 3 wave rally from 100.82 to 102.80 completed the D leg of the triangle and the 3 wave (corrective) pullback to 101.61 was just part of the final wave-E. An ideal target would be 101.12. Conviction: Med Levels: Support – 102.14, 101.72, 101.61 Resistance – 102.31, 102.42, 102.80
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