Technicals | Apr 07 2014
By Nick Linton-Ffrost
We suspect the ASX 200 (XJO) has completed a (B) wave rally from 5230 to 5440 which implies a decline towards 5310 and possibly 5230. Stop on view with a move above 5430.
We suspect the (B) wave has completed given the minor three count (abc) where c=a. Friday nights trading pushed below our 5400 pivot level and we suspect a confirmed break of that level will be enough start the ball rolling south.
Our conviction on this call will increase once a lower high forming below 5430 and/or a after a few days trading below 5400. If the plan comes together we expect the 5310 target to be achieved within 5 days and the 5230 target around 15 days.
Another trading idea from
Fifth Wave | fwtc.com.au
FW generates over 150 Trading Alerts on the ASX100 each year. We are a subscription service specialising in short term technical strategies based on 27years experience.
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