I would like to believe that price made a bottom on Oct. 10th, but the Wave pattern is indicating otherwise. There was a 3-wave rally from 132.26 to 141.73. Then price dropped in what looks to be a trucated 5-wave rally. Over the past few days, a choppy upward consolidation was carved out, and finally, price is starting to break down again. I will try to go short as price temporarily corrects upwards.
There is significant resistance at 137, and I will short in that region:
- Wave-a highs
- 61.8% fib of the drop from 138.55-->134.89
- Weekly pivot point
- Channel resistance
My stop is above the labeled Wave2 high.