An example of why we should never stand in the way of an extending Third Wave

First, let me wish you, dear reader, a very happy New Year.

I want to keep this simple and brief. On 15 November 2024, I sent my friend Bob the following chart. It pointed out that we were in an extending wave three and that the next target for the 3rd of the Third wave could be at the 361.8% projection. Of course, that meant we still had the 5th of the Third wave to come later.

And here is the picture today!

Can there be a better example of why standing in the way of a third-wave extension is dangerous? So, remember this, folks. Never attempt to sell at a projected target of an extending wave 3, as the extension is over only when it is over. Conversely, if you are already long in the early stages of a 3rd wave, don’t exit near the 161.8% projection hoping to buy on the wave 4 dip. You may never get that dip. Moreover, we know that one of the 3 three impulse waves will likely extend. So, even if you get a wave 4 dip from the 161.8% projection, there is still a reasonable chance that wave 5 will take the price much higher.