PSU banks bounce

PSU banks bounce: PSU banks are bouncing back naturally, they completed 5 wave declines as shown on the weekly chart of the PSU bank index. This is wave 1 of C, the bounce then is wave 2 of C, however wave 2 of C might not be over in one day. It can carry higher to multiple retracements till the trend changes. So stay open till 61.8% retracement. It is important to understand that after the recent fall the temptation to short is high but after 5 wave declines retracements can be steep as well. Timing is key.