The impulse leg on the chart shown is bogus, since the point-B low failed to exceed the 18.500 low recorded in June 2013. Ordinarily such a pattern would yield a D target that we should deem less than reliable. In this case, however, I’ve certified the pattern anyway because, basis the September contract, the point-B low actually did exceed the key low from last summer. Regardless, the 18.130 target is probably still good enough for government work, and so I’ll suggest bottom-fishing there with the tightest stop-loss you can abide. If you initiate the trade using camouflage, you can play more aggressively by stepping up your size.
