This Mid-Cap ETF is also a diagonal wave as IJH has now dipped into my wave 2 in Minor degree. IJH should resume its bearish trend and if this was a fake, or bear market rally then a 100% retracement must happen.
The biggest asset manager in the world (Blackrock) says the bottom is in and we are off and running into the next big bullish phase. Of course, they always have a fundamental reason, that may derail the bull market. The world’s problems are not going to get fixed in a short correction, as it will take much longer then most of us have the patience for. We could get another zigzag decline that will look like 5 waves, or we can get an obvious zigzag that stands out like a sore thumb. Either way, a new record low will be a trigger to close off shorts positions and even look at going long.
I have a small short position with this ETF and once IJH drops below $175 it will turn my short position green. Below $156 my short position will be closed off, as sure as “shit”, a counter rally will wipe out any gains we may have at that point.