The Elliott fans would be delighted today in observing a beautiful Elliott wave in action.
Please have a peek on your left hand corner of KLCI chart .
The chart had created a pretty wave 1 then retraced to about 38% then is creating wave 2 then make an upward wave 3 with slight extended than wave 1.Then it retraced to make a sideways movement of wave 4 .Then the final wave 5 was observed with similar in upward increased to wave 1 wth a bit extended.
Talking about wave, this wave is not that similar to 'gelombang biru' the party BN is blowing on to Kelantan and Terengganu in early stage of their manifesto election to capture those states. Its just waves invented by RN Elliott in 1930's. (Sorry no politic here)
In classic Elliott wave theorist after an upward movement of waves that we saw today it will follow a correction mode of Wave A , which down then wave B which is up then C which down .The movement of wave C down should not be lower then 1188. If that number is breach then Elliott wave is not applicable and new method will be applied to gauge the market direction.
What in store for us tomorrow? Let not dictated the market what to do, but let observed her and take action accordingly .
Thanks for reading
