While Whooph is SHORT Silver, he continues to watch and dissect its wave structure and consolidation in Wave 4. Whooph’s short was temporarily flattened with an equivalent long overnight as Price mounted its gentle trek upward from Consolidation point D to Consolidation point E (annotated below).
As of market open this morning, Whooph sold to close his equal long position, to reestablish his net SHORT position for a sellers trip from Wave 4 Consolidation Point E to Wave 5.
This Wave 5 will complete the FIRST down-leg in Silver.
Whooph’s read of the charts is thus far correct and corroborated or supported by bearish reverse divergences and “disagreement” between Price highs and associated higher momentum highs.
Normal Continuation is Down
In the overnight Wave 4 upward drift to the Moving Average, all signals reinforce NORMAL and customary continuation of Silver’s downward correction. That is, following any Point E of Consolidation (Wave 4 in this case), a trend continues. As shown in the chart, Silver should “continue” to Wave 5.
What happens AFTER Wave 5?
The coming downward Wave 5 of 5, will complete the FIRST Silver down-leg, which is longer-term Corrective Wave A of a normal A,B,C Correction.
So, following completion of the current Wave A, we should expect buying into an upward Wave B to some point below Silver’s High.
Other Whooph Trades:
Whooph is also SHORT Natural Gas in KOLD as of yesterday evening.