Saturday, December 12, 2020

Dow (30,046) - Ready for the next sub-wave iii run-up ?

Dow moved side way for a week and lost 172 points (-0.57%). If Dow can move higher next week and begin a new round of record breaking, it is possible that the Friday's low of 29,821 is the end of sub-wave ii and sub-wave iii has started.



But if Dow continues to move side way for the next two or three days it is possible that it is forming the mini wave 2 of the sub-wave iii.

FBMKLCI (1,684)

KLCI gained a total of 63 points or 3.9% during the week in the process of forming its sub-wave iii.


Since its sub-wave i gained 10.2%, for a normal 5-wave wave (iii), sub-wave iii should at least be able to gain 10.2% too to 1,720 level. In an extended sub-wave iii, it is possible that it can gain 1.618x10.2% or 16.5% to 1,820 level. 

By assuming the magnitude of mega wave (7) to be at least equal to the magnitude of mega wave (5) of about 130%, the minimum target for mega wave (7) is 2,800. It will take about 5 years to complete the mega wave (7).


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