Sunday, October 20, 2013
Monday, October 14, 2013
As in the last comment, a close above 5970 and not closing below 5885 had bullish bias and break on upside.
1. The moves now will be based on News flow from USA on debt ceiling and shutdown.Volatility is likely to increase with some roller coaster move.
2. If its a 5 wave move from 5701, it has legs to go above 6142 as well as 6229 further on positive news.
3.If its a 3 wave move from 5701 then its in c of it from 5823, making an ending diagonal,rising wedge and is in its last leg. It may come down positionally after breaking the uptrendline back to near 5900 levels and further below to 5700 in a Flat corrective.
4. In larger TF its one a-b-c from 6229-5119(wave A) and likely another a-b-c on from 5119 (wave B).
From 5701 it can be c up or in b of b as in two probabilities above (pts 2 &3) in short term.
5. Price wise close below 6000 may signal a short term top in place and likely start of down trend.
Else we may be in for higher targets of 6150 (cross 6142 in iii-c)),6230 (cross 6229 in v-c) and further to 6335 (c=.62a, where a=5119-6142).
overall this a-b-c from 5119 may be a sucker B wave ( wave A in a-b-c from 6229-5119) giving a false impression of a long term bullish breakout crossing vital price levels and historic pivots only to deceive and go down in a bearish C wave down.