SUMMARY
Here is a weekly chart of Red Hat (RHT) showing its five wave impulse. Would you consider wave 5 as being extended? Does wave 5 look to have moved in a near vertical trajectory? Is this angle of ascent sustainable? Is this the time to be taking buying or selling actions?
What do you do when you see an extended wave 5? Do you buy with open arms or sell and not walk but run? The pattern also shows that the rise has been pretty symmetrical to the left side. So, IF this is a Cup & Handle, then the handle could make swift work of a correction to pattern it out. For now, the ABC is marked to decline towards the 0.618 Fib zone.
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