As well, the volume in NEM exploded on the spike down for a possible Spike Volume Bottom (SVT).
In sum, we have several factors pointing to a washout. A Selling Climax would be confirmed on trade back above the horizontal green line.
My take is NEM may…may…bounce from here and then undercut it and drop to 40/41 THREE points lower for an undercut low.
However, it could go straight to 40/41 as well…assuming that is its agenda.
Be that as it may the Rule of 3 is on the table with 3 straight waterfall weeks in play.