Sorry, I mentioned this option in the chat room earlier but did not get a chance to post a chart here.[8:49 AM Update]
If1255 holds (1250 max) as support, a scalp long may not be a bad play if the 5th wave ext count is playing out and the mkt wants to tag 1275-1290 IMHO. Due diligence as usual.Wave counts aside, this looks like a bullish pennant
Pre Market
/ESBased on yesterday's 1A chart, if wave iv red is not complete, I'm looking for a pullback to approximately 1255 before moving higher to complete wave v red.
A possible target for v red would be approximately 1265 where v=i.
Should the wave 5 extension scenario play out, the 1265 target would still apply but it would only mark the top of wave 3 blue.
And of course, should 1265/1260 mark a turn, the larger Minor 4 option detailed in yesterday's EOD post will also have to be considered. Keep in mind, based on this count, wave b/x red may already be complete. We can't get ahead here yet until we see what type of pullback occurs.
So at least in the near term, the 1260s is a potential target for all three options.
GL!
