Bounce could stop here at .386 if it decides to, BUT, if it decides to move up (higher percentage), measure the 2nd leg. If you're in a long trade, you can figure out if this current move up could be an impulsive or correctively. Any hard rejection from 1 to 1 or to 1.386 will be considered an ABC. (Rarely 1.618 but should over shoot the 1.618 buy a dollar) but if it rejects at 1.618 or slightly above would be considered impulsive move. Which means a triangle or flag move will appear before the 5th wave. With all the information, you can plan accordingly. There are so many trades just off of this information; scalp the 4th wave short? playing the end of an ABC correction up? Wait for the 4 wave correction and play the last 5th wave? and so on...
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