So far the action up over the holiday and overnight action in the Emini Nasdaq futures has been corrective in nature, thus not giving us any confirmation that a bottom is indeed in place just yet.
The move down off of last weeks high also came up just a bit short of breaking the lows, so, ideally, I would prefer to see this makes a lower low to reset the count. If that does occur then the next key fib below comes in at the 11942 level. If that level breaks then I have 11723 below that at the 161.8 extension.
If we do not make a lower low but rather break the 12241 high, then it would suggest that we have put in a bottom and are heading higher on perhaps a truncated bottom with further confirmation coming with a break back over the 12464 level.
For now, however, and as long as we hold under 12241, I am still cautious and on the lookout for this to make a lower low giving us the cleaner and more standard count versus relying on a truncated bottom.