Sunday, April 24, 2011

Looking for possible ending point for major wave B




Dow closed the week at 12,505. It has gained 5,958 points or 91% since its March 2009's low. I still believe that the 6,547 low is major wave A and the rebound since then is major wave B and Dow is at the tail end of B.

There is no way for me to know the exact ending point of B. But one things is for sure I should not have any long-term holding on stocks and any buying is for very very short term to test chart theory and chart reading skill.

Looking at Nasdaq and assuming Dow and Nasdaq will move in tandem, there is a likely ending point for major wave B in May at around 2,900 for Nasdaq.



Since wave (iii) must have 5 waves, so far Nasdaq has a short sub-wave 1, long sub-wave 3 with 5 mini waves and I am expecting a short sub-wave 5 similar to that of sub-wave 1. With a possible small wedge formation for sub-wave 5, major wave B has a possibility to complete its journey within 2 weeks. Must be very careful as sub-wave 5 unfolds in the next two weeks.


Priceworth International Bhd



Priceworth has a very bullish long-term chart formation of (I)-(II), (1)-(2), 1-2 with a lower and a higher degree 'double bottoms' formation, if my reading is right. Let's see whether it is going to have a vertical up for its 3.


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