Silver Intraday Crash Update.

I believe that this great looking silver crash is a correction and not the start of some super bearish move. I think the best part is yet to come. I moved my Minor degree top over with an extended diagonal zigzag, which places the Minute degree correction not quite in the middle of the decline, followed by a long and skinny “C” wave. If all the technical wave counting is correct or very close, then this would be one of the best wave trading setups this year.

At a minimum, any “ABC” type crash will retrace 100% of its decline, and then add on more legs after it breaks out.  I stress more attention should be paid to 3 wave patterns than any set of 5 waves, as 3 waves dominate the markets at this time.  

Silver is not starting as a pure impulse, but that is to be expected as we have to link all zigzags together in a wave 3 as well. Before I used to panic thinking that all these were false rallies, but I know this is not true.

As you can guess I would have to be very bullish with what I see right now, but we need time to move forward to help confirm it. 

Technically, we should also see waves 3-4-5 show up, after which it can give us another major  high and time to force a decision on us. Many things have to fall into place as well, so it’s not all about any wave count.  Emotions and crowd sentiment is the underlying fundamentals of the EWP, and when we ignore these sentiment indicators we do so at our own peril.  The Futures or Forex markets will show us no mercy, as that is where “fear” dominates at the expense of hope and greed. I know that most fears develop because of over trading, and lack of attention how much of our trading accounts we have used up. There is a big difference in fear, if you only risk $1 out of $100 cash, or betting $50-$60 out of each $100 net cash in your trading account.  Only the guy standing in front of a slot machine will bet everything.  

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