As is perhaps not obvious (though much much discussed) the management of risk is the most important task of the investor and trader. The naive might look at the present formation and say “here’s a chance to pick up some bargains.” But because of the unfinished nature of the formation he might be buying a pig in a poke –or worse an IED in a poke. When you can’t see a clear path for the market you should be patient, and there is no clear path at the moment. It is absolutely possible that price will test the bottom again here and if the bottom didn’t hold there would be a serious problem, perhaps even a major change of trend.
We have recently discussed alphabetazeta patterns. The reader can easily see that there is no beta wave here yet. Prudent investors will wait until there is some resolution to the pattern.