View: IBEX: Follow up of the short term EWP | The wave trading

Brief follow up of the scenario that I posted last Friday.

The internal structure of the corrective move from the June 6 low could be unfolding a Double Zig Zag (ABC=W; X; ABC=Y).

If this is the case then price is now involved in tracing the wave (A) of the second Zig Zag.

Price has reached the resistance zone located in the area of 7186.

Today´s Spinning Top in addition of 2 consecutive eod prints above the upper Bollinger Band is suggesting that the odds of a pullback are large.

We have 2 layers of support located in the range 6960-6844 where the expected wave (B) pullback should bottom.

Once the wave (B) is in place an impulsive or ending diagonal wave (C) will complete the counter trend rebound with a potential target in the range 7306-7484