Dow - New record high

Dow gained 112 points on Monday to set a new record high at 16,695 level. My previous wave count for Dow remained valid as long as the current up for Dow does not go beyond 16,800 level for its wave d.

However if Dow can go beyond 16,800 in its current run-up, I have no choice but to revise my previous wave count to the one as shown below even though Dow has only 3 mini waves instead of 5 for the wave c of its sub-wave ii.

With this possible wave count, Dow is currently forming the mini wave 3 of its sub-wave iii of its wave (xi), Dow will needs more time to complete its wave (xi), (xii) and (xiii) before its next major wave (6) or mega wave 2 correction as mentioned previously. Dow may have to take 9 to 12 months to complete its wave (xi), (xii) and (xiii).

That means Dow is unlikely to have a major pullback until first quarter of 2015. Similarly FBMKLCI, Hang Seng and Singapore STI are not likely to have major correction until early next year.

The main question now is whether Dow can go beyond 16,800 level in its current run-up.


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