Weekly
Daily
4 Hourly
First Solar
Sharad asked me if First Solar is topping and a decline to 26.00 is at hand. My answer to that is, that we could see a decline towards 41.00 and maybe even lower to 35.00, but 26.00 is not on my radar.
If we start with the weekly chart we have seen a double zig-zag correction from 330.00, which ended at 12.50 and since the low we have seen a impulsive rally. The five wave rally from the 12.50 low indicates a change in the larger underlying trend and that we should expect much higher levels in the coming weeks/months and maybe years to come.
Looking at the daily chart and 4 hourly charts we can see that we have a five wave rally out of 12.50 and a break above the base-channel, which is the best indication we can get, that wave iii is developing. Yes we might have seen a five wave rally from just below 25.00, but that would only mark wave (i) of iii and during third waves we should expect corrections to be sub-normal. Ideally the former base channel resistance-line, which has now become support will protect the downside, but we must accept a deeper correction towards the bottom of wave four of one lessor degree near 35.00, before the next powerful rally higher towards at least 50.14. and likely 70.00
Looking at the daily chart and 4 hourly charts we can see that we have a five wave rally out of 12.50 and a break above the base-channel, which is the best indication we can get, that wave iii is developing. Yes we might have seen a five wave rally from just below 25.00, but that would only mark wave (i) of iii and during third waves we should expect corrections to be sub-normal. Ideally the former base channel resistance-line, which has now become support will protect the downside, but we must accept a deeper correction towards the bottom of wave four of one lessor degree near 35.00, before the next powerful rally higher towards at least 50.14. and likely 70.00
Hi EWS,
ReplyDeleteThe end of wave 1 was at 35.60. Above you mention we could pull back to $35. Wouldn't that invalid wave 3?
Hi Todd,
ReplyDeleteIf my Count is correct we have only seen wave (i) of iii and therefore a pull-back to 35.00 in wave (ii) would not invalidate wave iii.
As I say we might wee a pull-back to 35.00 it's by no Means nessesary. as we are in wave iii the correction could easily be smaller and only reach to the support-line near 41.00.
Kind regards
EWS
thanks EWS.
ReplyDelete