Point Of No Return

With the metals market seemingly topping out today, we may have now dropped to the point of no return.   You see, due to today’s drop, this is either going to be the start of the 5^th wave to lower lows, or, yes, if we break back out over today’s high, then we will be looking at the revenge of the purple count.  It seems that simple to me at this time.

I also want to remind you that a 5^th wave decline in an ending diagonal takes shape as a 3-wave structure, breaking down as an a-b-c decline.  So, the fact that we may be declining in a seemingly corrective structure does not make us lean towards the purple count, as it is simply following the path one would expect for an a-wave in the a-b-c 5^th wave decline.  Again, it would only be with a break back out over today’s high that I would have to strongly consider the purple count again.

So, again, I want to also remind you that should we get those lower lows that I want to see, then that is going to be a wonderful buying opportunity for the next rally I am expecting.  So, overall, nothing has really changed in my perspective at this time – that is, as long as we remain below today’s high.  Should we break back over today’s high, then the purple count comes front and center.