This is intended to be a forum for me to post chart ideas and hopefully receive feedback and stimulate discussion.It is not intended to constitute investment advice.
Saturday, 1 June 2013
We got a "red brick" on the BPI Renko chart,which is an early indication for a trend reversal. Chart from link on SoulJester's RLS Blog.
Hi CR, Here is a chart of the ASX 200. The fact Asia sold off earlier than the US or Europe says to me that if it continues to go down from here there is a good chance we are dealing with a larger correction or potential trend change that may well play out on the larger global indexes as well. I was personally thinking and am playing a small degree wave 4 that may well finish on Monday. But maybe not! That is why I think Monday/Tuesday Asia trading will be key to whether we continue down on a global scale into something much bigger or not. The fact that the downward move on the ASX has already broken the long standing trend channel for what I have labelled as wave 3 at intermediate (yellow) degree indicates the decline is at wave 4 at intermediate degree and not minor degree corrections that have been associated with this wave since June 2012. Can;t be certain it is the right count but if it keeps going down now it is a very good indicator this correction is at least at the larger intermediate degree, or potentially a trend change This Twitpic has poor resolution so will start looking for a better site for posting charts.
Wish I had stuck to the idea of a linear down wave 4 for the ASX as in the chart I sent you. I ended up thinking there would be a decent B wave to counter the linear down and went long but it has continued down in that linear fashion. Maybe we get a delayed B wave reaction but would have expected it earlier than this.
Hi CR, Here is a chart of the ASX 200. The fact Asia sold off earlier than the US or Europe says to me that if it continues to go down from here there is a good chance we are dealing with a larger correction or potential trend change that may well play out on the larger global indexes as well. I was personally thinking and am playing a small degree wave 4 that may well finish on Monday. But maybe not! That is why I think Monday/Tuesday Asia trading will be key to whether we continue down on a global scale into something much bigger or not. The fact that the downward move on the ASX has already broken the long standing trend channel for what I have labelled as wave 3 at intermediate (yellow) degree indicates the decline is at wave 4 at intermediate degree and not minor degree corrections that have been associated with this wave since June 2012. Can;t be certain it is the right count but if it keeps going down now it is a very good indicator this correction is at least at the larger intermediate degree, or potentially a trend change
ReplyDeleteThis Twitpic has poor resolution so will start looking for a better site for posting charts.
Enjoy the rest of your weekend!
http://twitpic.com/cuyd8b/full
I note the link to the chart did not work for some reason so try this out. Photobucket seems to give a better resolution than Twitpic.
Deletehttp://s1299.photobucket.com/user/HydroEcol/media/XJO20130602172917_zps7e4e51bb.png.html
Thanks JD. Yes ,the 2 weekly candles on FTSE look ominous and FTSE has a history of often leading other markets. Should be an interesting week !
ReplyDeleteWish I had stuck to the idea of a linear down wave 4 for the ASX as in the chart I sent you. I ended up thinking there would be a decent B wave to counter the linear down and went long but it has continued down in that linear fashion. Maybe we get a delayed B wave reaction but would have expected it earlier than this.
ReplyDelete