Keep in mind that the drop from 2.1160 to 1.9337 was in 5 waves. We view this decline as wave (A) in a larger A-B-C correction. Wave (B) was a clear 3 wave countertrend rally that ended just shy of the 61.8% level of A. Wave (C) is underway now.
Specifically, wave 1 of (C) is underway now. We will remain bearish until we see 5 waves down from 2.0396. A short term target is 1.9540 (1 to 3 days). The longer term (8 to 12 weeks) target is near 1.8500.
