IMHO the 20w low has occurred. The straightest part of a sine wave is 1/4L, and centered at the midpoint of the upleg, and also the center of the downleg. For the 20w, the slope of a 5week sma should approximate those legs. If the slope during the downleg is only allowed to become more negative, a trendline with that slope approximates the channel boundary surrounding the 20w sma. Such a trendline was soundly violated this week and hence the low has occurred. Presumably, the 40w sma slope will remain negative and the FLD suggests that the run-up would not exceed 4000-4050 area. Given the bearish scenario LT, this would be an excellent area to Short, imho.
Stay on the right side of the cycle!
