That followed through nicely this morning so I've closed my longs and taken a small short from 159.25p with a tight stop. I'll be moving it to break even soon.
The key question now is: was that the initial move of a new up trend, or was it the wave 4 of C we've previously discussed. The most reliable way of testing that will be to see what happens at that 139/139.25p area as that's the 61.8% Fib of the move up from 126p. It's also close to that initial breakout level of 137.5p
If 139p holds then it adds weight to the possibility of a new uptrend; if it gets taken out then a final low below 126p is more likely IMHO.
The key question now is: was that the initial move of a new up trend, or was it the wave 4 of C we've previously discussed. The most reliable way of testing that will be to see what happens at that 139/139.25p area as that's the 61.8% Fib of the move up from 126p. It's also close to that initial breakout level of 137.5p
If 139p holds then it adds weight to the possibility of a new uptrend; if it gets taken out then a final low below 126p is more likely IMHO.