Sunday, March 25, 2018

Dow - Will the current correction end at 22,600?

Dow (23,533)

If Dow is having its major wave 8 correction and if 15% is the target, Dow is expected to end its correction at around 22,600 level, another 933 points or 4% to go. But if the $60 billion tariffs on China as announced by Trump were to develop into a full scale trade war between the US and China, 22,600 is unlikely to be the end for Dow .


FBMKLCI (1,865)

As mentioned in my previous postings, firstly I have a not so likely but bullish wave count as shown below, a major wave 5 in the making.


Secondly I have a bearish wave C (-15%) of mega wave (6) scenario.



Now I have come up with an even worst wave count for KLCI as shown below.


A 46%, short duration, mega wave (6) correction is the best we can have, unless it can turn into a shallow but long duration correction.


The worst case that can happen is a super wave (II) correction. Do remember, stopping at mega wave (4) is the minimum target.


.

No comments: