This chart of weekly data for the JSE ALSI (Swix) index tells us that the correction is not over. If it were then the upward move from [A] to [B] would comply with the Elliott wave theory rule whereby the 4th wave may not enter the first wave.
Such an eventuality is not a surprise. The order of the preceding waves indicates that this correction is at least a Cycle degree. There is good reason to see it as being of Super-cycle degree, but let us cross that bridge only if we have to, because it could well be a bridge too far for most people.
This chart is now telling us that Primary wave [C] is underway. Typically the price action of this wave should be very similar to wave [A] and that would suffice for a Cycle degree correction. Primary wave [A] has a 5-3-5 structure, Primary [C] has a similar prospect.
The RSI indication was at a similar level during wave [A] when it was at a similar distance of time from the beginning of that wave.
Like all of the charts that I post, this pattern analysis employs the standard version of the Elliott Wave Theory and is intended only to demonstrate my own momentary view within my own application of that theory.
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