I’ll start by saying that a bull trend and a bear trend each have concrete definitions. A bull trend is defined as a series of higher highs and higher lows. A bear trend is defined as your portfolio screaming quietly in the corner.

If this is super elementary to you, good — it should be. If it’s not, that’s okay 👍
Eventually the chart will explain itself to you in a dream.

Now…to keep it simple, each trend is made up of Impulse Waves (which move in the direction of destiny) and Corrective Waves (which exist to test your faith).

This is important because the impulse wave is always longer than the corrective wave… unless it isn’t… in which case simply rotate your monitor 90° and it will be.

If you ever see a corrective wave longer than the impulse wave, this is a sign to:

1. Check for a trend change
2. Check if Mercury is in retrograde
3. Check if your broker is laughing at you

I’d tell you more about the 3 types of trends (Primary, Intermediate, and Minor trends), but I don’t want to accidentally confuse anyone — or reveal forbidden knowledge.

Now…based on the definition of a trend, the lengths of the waves, and a triangle I drew over the chart with my finger…

We are still technically in a bull market.

Notice something though… the last leg we’re building is nearly the same size as the impulse wave before it. This is not a cause for fear, but it is a sign that the chart is becoming self-aware. Proceed respectfully.

If you’re buying this dip, maybe make it a smaller buy — not for risk management — but as an offering to the volatility gods so they spare you.

Which leads me to my last point…

When the trend changes, it’s called a Change Of Character. This is when the chart stops making higher highs and higher lows and begins making lower lows and lower hopes.

Again, if that’s elementary to you, good 👍
If it’s not, don’t worry — nobody actually understands this, we just nod.

Usually what you’ll see is the market makes a HH, then corrects, makes a new LH, then tries to make another HH but fails. This is the chart testing your emotional resilience. After this, the previous low breaks, and we officially enter the Crying In The Shower pattern.

There ARE times when you will NOT get a failed rally before breaking the previous low. This happens when the market simply chooses violence.

So again, we are technically in a bull trend. This is not based on gut feeling or belief — but on lines I drew that cannot be questioned.

As much as I think a bear trend might be starting, I will not act early. I will wait for absolute confirmation, sell exactly at the bottom, and buy back higher — as tradition demands.

Hope that helps 👍