After completing a clean five-wave decline, Volatility 10 is showing signs of exhaustion. Wave 5 has just wrapped up at the bottom of a falling wedge β a classic setup for a bullish reversal.
Right now, price action is pressing against the wedge resistance, and momentum looks ready to flip. A strong break and close above 5,700 could light the fuse for a new impulse Wave 1, kicking off a fresh bullish phase.
If this scenario plays out, we could see price accelerate toward the 6,080β6,100 zone β marking the start of a powerful move higher.
π‘ Traderβs Take: The bears might have had their run. Keep your eyes on the breakout β Wave 3 could be the move that defines the week.