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NGH-D-1-22-2021-10-50-am

NG- a corrective bounce off the March 2020 low looks having topped

Last Wednesday I wrote:

“NGH has climbed up to the Red Target box and at this point I would consider cutting longs. At this point break down under the low made at 3.072 by subwave e of ( iv ) would confirm completion of the rally”

The reason why I turned bearish was the fact that NGH completed a micro structure of wave [C] up.

The problem for bulls is that this huge [A]-[B]-[C] up move looks corrective.

The main reason why we consider it corrective is because wave [B] down made a lower low.

The low made by NG in March 2020 could have been a MAJOR LOW if that wave [B] down did not make a lower low.

Now we are left with a c complete looking corrective bounce following a very strong impulsive decline.

That [A]-[B]-[C] bounce that lasted 11 months may be followed by another plunge to new lower lows.

NGH21 - Daily chart updated at 10-55 AM on 2-22-2021

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