In the last chart, there was a real possibility that a top was at hand for wave '2', however, we have seen a new short term high on the index that invalidates the short term count.
What one hopes to see after the top is at hand is: 1) fives waves down, and 2) a break of the 'ii-iv' trend line in less time that wave 'v' took to form. It appeared a very small five wave decline had commenced at the green dot in the chart below, but it failed to break the light green trend line (the previous 'ii-iv' line) quickly enough - taking twice as long as wave 'v' before a break eventuated. This condition provides a warning that wave 'iv' may not have completed.
With the long drawn out sideways action on the XAO, consistently moving in waves of 3, it is very likely that a larger triangle has been forming as shown below. It's unclear how much further wave 'v' has to go depending on how you count the internal subdivisions, but I suspect further upside is needed perhaps to the 76% retrace.
The new "ii-iv" trend line is now drawn - same rules apply.