Excerpts from Oct 8th Weekend Update: Now, The Easy Part.
IWM 120 Minute
Lots of "stuff" going on in this IWM 120 minute chart, starting with the Big Picture wave count that suggesting a deep dive Wave 3 unfolding directly ahead in what could be a near vertical drop. The Fibonacci reversal zones are easier to draw than to trade, but what has been consistent with this pattern recognition technique has not been knowing how high the counter-trend rallies will reach, but knowing when they have ended. As price exits the shaded squares to the downside, it has been safe to assume that the prior retracement rally has ended and a new leg down has begun. i.e., buy more puts. It worked on each one of the shown examples on this chart, with the the exception of the current one, which we can only consider in progress. We will know soon enough if this one worked too, and as of the close on Friday, so far so good.
IYR 120 Minute
Past Performance Is Not A Guarantee of Future Results