Technicals | Apr 04 2016
By Nick Linton-Ffrost
Medium term low expected between 4850 and 4975 before heading north to 5400
We suspect the market has or is close to completing a higher low between 4850 and 4975. Once this (B) wave is complete we will be looking for a rally towards 5400 over the next two months. View based on the following –
- completion of five major waves down from 6000 implies a bounce to the top of wave (4) around 5400
- rally from 4700 to 5225 as wave (A) after tracing out five minor waves
- descent from 5225 is a (B) wave which should complete between 4850 -4975
- (C) carries to 5400 where (C) approximates (A)
Our view will negated after 2-3 days trading below 4825.
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 27 years experience.
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