Weekly Technical Analysis 3RD JUNE 2013

Weekly Technical Analysis 03 June 2013

- By Vivek Patil, India's foremost expert in Elliot Wave Analysis Top Stories of the Week     

Sensex opens e-wave on Monday, ends on Thursday, finishes flat for the week. Govt puts off stake sale in Coal India on opposition from Unions. GDP up 4.8% in Q4, FY'13 growth at decade low of 5%. Rupee drop to 10-month low against Dollar. NR Narayana Murthy makes a comeback on Infosys' board.

e-leg moves 700 pts higher, ends in 4 days after achieving our target [Technical readings carried forward from previous weeks are shown in italics. Readers can easily identify the new arguments which are written in regular

Last week we discussed, “Sensex reacted from the Grid level at 20250 … Last week‟s fall, marked as d-leg, was bigger than previous fall we marke leg. This is symptomatic of a „Diamond-Shaped‟ Diametric, which looks „bulging‟ in the middle … the d-leg must end soon … the d-wave has already consumed 4 days … End of d-leg could confirm when the bias turns +ve by way of strength and close above previous candle. We can think of o an upward e-wave if that happens … e-leg could remain smaller than the d-leg, but reach higher to test 50-61.8% retracement level d-leg, i.e. ab 20000-100 (Nifty 6080-6120) … ”

Sensex strengthened/closed above previous candle on Monday, and opened the much-expected e-leg upwards. Against our target at 61.8% retracement at 20100 (6120), e-leg achieved 20254 (Nifty 6134). Like previous three legs, e-leg consumed 4 days, and ended on Thursday. The Ind reacted lower on Friday, and finished only 54 pts or a marginal 0.3% higher for the week. While Auto/IT/FMCG/Pharma Indexes ended over 1% higher, th Index lost over 6% and Bank Index weakened nearly 2%.

The week began with a +ve follow-up to preceding Friday‟s Upward Bar Reversal pattern. Monday‟s candle was big enough to suggest bear-coverin However, movement slowed down in the next three days. The preceding d-leg fall was a 4-day affair. The e-leg rally consumed 4 days to retrace only 78% of d-leg. The rally, thus, looked slower compared

Price-wise, e-leg achieved slightly higher levels of 20254 against our target at 20100. Time-wise, e-leg remained a 4-day affair, like the precedin d legs. Such time-similarity within the legs is considered symptomatic for a Diametric development.

The market has remained selective for a while. While heavies are pulling the main Index higher, broader market was seen attracting distribution. We, ther suspected some kind of distribution pattern at the end of post Apr‟13 rally, similar to the developments during „2007.

We, accordingly, suspected the rally from Apr‟13 low of 18144 (Nifty 5477) could develop as a 7 legged “Diamond-Shaped” Diametric. The Diametric development was suspected initially due to the smaller b-leg price-time-wise, as compared to the preceding a-leg.

Alternatively, as we mentioned last week, the rally could develop as a 5-legged Extracting Triangle. In an “Extracting Triangle”, the directional rallie leg, c-leg and e-leg get smaller gradually, i.e. e < c < a. On the non-directional side, the drop also gets bigger, i.e. d > b. On one higher degree, the rally was considered either as “b” of larger E (from Jan‟13) OR “g” of larger D (from Dec‟11). If it is “b” of E, the implication would a slower fall, to be labeled as b-leg inside the “b”. However, if it was “f” of D, i.e. last leg of post Dec‟11 rally, then the should see violence and faster retracement of the post Apr‟13 rally. The market, in the meanwhile, continues to be selective. The main indices have been controlled by the ones who can move the heavyweights. We mentioned swaying prowess of ITC recently.

However, while Sensex trades near to its highest levels, the BSE Small-Cap Index trades near the levels it closed the year „2005, i.e. 8-year old l which shows the small investor still remain in a tight spot.

Friday‟s action formed the biggest Bear candle in 3 months. Structurally, Friday‟s violent reversal indicated end of e-leg, and beginning of the next f leg as per our current assumption of 7-legged Diametric developing from Apr‟13 low of 18144 (Nifty 5477). By conventional Technical Analysis, the pattern during the entire month of May‟13 looks like a Head and Shoulders formation, with its Head at 20 high of 20444 (Nifty 6229).

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H&S is a bearish formation, but confirms on faster retracement below 19568 (Nifty 5936) in the next 3 days. Such a move would mean break below Neckline of the H&S and faster retracement of e-wave.

Such a confirmation of H&S, i.e. drop below 19568 (5936), would, however, turn f-leg bigger than the e-leg, and potentially invalidate our assump legged Diametric post Apr‟13-lows. Invalidation of Diametric could open the alternate possibility that the move post Apr‟13-lows actually ended as a 5-legged Extracting Triangle, drop beginning from Friday is not an f-leg, but is either b-leg of “b” of E OR beginning part of the larger E.

Protecting 19568 can, however, maintain our Diametric assumption for the time being, which would get completed only after f (down) and g (up are over. Keep and eye on 19568 (5936) therefore.

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The Sensex has reacted lower from the Grid level at 20250 for the 2 time. The effectiveness of VP‟s Grid System was shown on the chart abov „2008, these Grid levels did prove important turning points for the market. The d-leg marginally broke the previous support (last week‟s low and bottom of b-leg) at 19653. That‟s ok. It has satisfied the requirement of being larger leg to generate “expansion” or a “bulging” middle part.

However, it has also retraced the preceding 4-day rally (c-leg) fully in faster time. This is not symptomatic of a d-leg. The d-leg of diametric sho complex affair, which usually retraces b-leg in a “slower” time.

Structurally, on one higher-degree, the rally from Apr-lows was marked lower-degree a of “b” of larger E, and alternatively as “g” of larger D. A Jan‟13 high, the probability of this rally getting marked as “g” of still-incomplete D (from Dec‟11), has now increased.

The post-pattern implication for the two alternative labels would, however, be different. If rally is a of “b”, the b of “b” would be a slower fall. However was “g”, then rally would get fully retraced in faster time. As per the alternate structure shown below, the current rally may be “g” of the still-incomplete larger D :

The larger weakness would be expected only after 7 legs of the Diametric or 5 legs of Extracting Triangle inside the rally are completed.

Since legs of Diametric as well as Extracting Triangle formations are exceptions to NEoWave rules, the trading environment could remain chal We better trade with the required caution and be selective on trading opportunities. th

We have been considering the development since Jan‟13 as E or the 5 leg of the larger Diametric from „2008 onwards. We also suspected that E develop over a period of 13 months. Structurally, E could develop either as a Flat or Complex Corrective involving x-wave. th

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The near 3-month fall from 29 Jan to 15 Apr was analyzed as a 7-legged Diamond-Shaped Diametric. Each lower-degree wave inside this Diamet a-b-c-d-e-f-g, consumed about 8 days each, and its total period was 52 days (about 8 days multiplied by 7 waves).

The Diametric looks “bulging” in the middle, which provides it with a Diamond-like shape. Further, a-wave and g-wave of the Diametric were almos price-wise as well as time-wise, like we argued.

Under Wave Theory, the standard correctives are Zigzag, Flat and Triangle. Though not mentioned in Glenn Neely‟s Book “Mastering Elliott”, a 7-legg Diametric is also considered one complete label-3 corrective.

A Diametric is a very tradable pattern once identified correctly, like we did since Feb‟13 onwards. Its identification symptoms included time-similar amidst its internal legs, and corrective (label-3) a-wave followed by sub-normal b-wave. Since Diametric is absent from the book, many seem to ignore its existence. It is basically made-up of two Triangles.

While Contracting Triangle followed by Expanding Triangle would shape-up as Bow-Tie Diametric, Expanding Triangle followed by Contracting Triangle w shape-up as “Diamond-Shaped” Diametric. st

On one higher degree, the Diametric from Jan‟13, which completed in „Apr‟13, could either be the 1 Corrective or “a” wave inside the larger E.

If the Diametric is “a” wave, then the current rally is part of “b”. If the current rally is “b” of E, then it would retrace “more than” 61.8% of “a”, and als consume more time than “a”. th

The 48-day rally from 20 Nov‟12 was completely retraced exactly in 48 days. This amounts to “faster retracement” of Impulse we had assumed th the 5 of “c” inside the larger D. This can be considered as confirmation of the larger bearish assumptions we discussed from time to time sin Jan‟13 top.

The action has also broken below the 200-day Exponential (EMA) as well as Simple (SMA) Moving Averages, and indeed closed below them for time since Jul‟12. Decisive break of 200-day MA levels is generally considered by many as existence of a Bear phase.

Indeed, 200-day MA break is a major, and perhaps the only technical parameter, understood by people who generally follow Fundamentals othe For the followers of Technical Analysis, however, such 200-day signaling a Bear phase comes too late.

With the help of Technical Analysis, remember, we were able to pin-point that a major top would be made during Jan‟13, below 20303, and Sen obliged.

Multi-Year long Diametric Formation

It was argued that all multi-fold rallies would be followed by multi-year long consolidations. Sensex, remember, rose 11-fold during „1988 to „1992, b entered a 11-year consolidation thereafter.

Again, during „2003 to „2008 it multiplied 7 times. Drawing similarity, it could a 7-year consolidation starting „2008. Further, the consolidation, may shape a 7-legged Diametric, similar to the consolidation seen from „1992 to „2003.

The Diametric formation from „2008 is also suspected because each of its internal legs, except B, have consumed about 13 months so far. So, the E from Jan‟13 could also continue for about 13 months, and end somewhere around Feb-Mar‟14.

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This long-term picture was fist published on 6 Feb‟2012, with both D legs highlighted in Purple color rectangles. In the previous instance, the D leg d „1996-97 had retraced as much as 97% of its preceding C leg. In the current instance, D retraced 84% of C.

Long-term corrective phase on Dow‟s chart also appears to be a probable 7-legged Diametric. Instead of “Bow-Tie Diametric” on Sensex, Dow‟s D is shaping up as “Diamond-Shaped Diametric”.

Jan-Mar Topping Cycle During Dec‟12, it was pointed out that major tops occurred during Jan-Mar period in the last 13 years. More than half the times, the top also occurred during the month of „January. Based on this, it was argued that Sensex could hit a major top during and it did.

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This cycle may be the result of NAV pop-up exercise in the last month of the Calendar Year. Jan‟13 was the 7 such top forming in the month of „Jan

Performance of the Broader Market The broader market has, generally, under-performed the main Index since the year „2008, as can be checked on the chart below.

Indeed, the broader Mid-Cap and Small-Cap Indices have also broken 0-b lines of the upward D leg, shown in White on the chart. The Small-cap Index e broke its Jun‟12 levels marked in Blue, i.e. gave a faster retracement to the “c” part of post-Dec‟11 rally.

While the Sensex itself retraced 84% of it preceding 13-month fall from Nov‟10 to Dec‟11, BSE Small-Cap Index retraced only 38.2%, and has, in reacted heavily from this retracement level.

The divergence between Sensex and broader market appears to be Index management activity, as the Sensex is held by the Index heavy-weigh while the broader shows distribution. This whole thing, however, made for a tricky and uncomfortable trading environment.

NEoWave Discussions th

Inside the D leg from Dec‟11 to Jan‟13, we had had assumed a 3-legged a-b-c Flat. The “c” part was a 5-legged Impulse, inside which, 5 leg (beginning Nov‟12) was assumed to be a Terminal.

Based on NEoWave requirements, it was argued that Sensex would drop below Nov‟12 lows in 50% time of the 48-day long Terminal. Index even did drop below Nov‟12, but took 48 day or 100% time (instead of 50%). As an abundant precaution, therefore, following alternate wave-structure was suggested for the D leg from Dec‟11, according to which, D is still developing as a 7-legged Bow-Tie Diametric. This structure, however, turns valid only if Jan‟13 highs are broken, not otherwise.

In the alternate scenario, “c” ended at Oct‟12 high, and it was equal to “a” leg. The “d” was the smallest segment, and “e” (i.e. post-Nov‟12 rally) “Double Combination” which ended in Jan‟13. The channel enclosing the a-b-c Flat inside the larger D leg from Dec‟2011 onwards was shown on the chart below.

The 80% retracement level was considered and marked as a pattern implication for the 13-month long Double Combination move marked as C. implications, however, cannot be strictly implemented for the legs of Triangle and Diametric, which are exceptions to the general rules.

Inside “c” of D (beginning Jun‟12) for Sensex, we were expecting a 5-legged Impulse, because Flat is a 3-3-5 structure. As per NEoWave “Extension rule”, one of the directional leg inside an Impulse should get “extended”, i.e. achieve 161.8% ratio to the next largest leg. st

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Since 1 and 3 were “normal”, we could have projected 5 wave Extension. However, such a move would project values slightly above the Nov‟10 highs would jeopardize the larger assumption of “Bow-Tie” shaped Diametric from „2008 onwards. th

We, therefore, preferred 5 of “c” not to achieve 161.8% ratio, but terminate below Nov‟10 highs, from where a downward E would open. Since the “expanding” phase of the Bow-Tie Diametric, it would break below Dec‟11 lows. st

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The 1 and 3 inside “c” of D continued for about 4-5 weeks each. We expected 5 to consume a similar time, and end somewhere in the month of Dec‟1 near to it. th

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As the beginning part of 5 shows violence on upside, we suspected 5 could develop internally as a 1 Extension Impulse or Terminal. Since “Terminal” always occurs at major turning point, it would be able to generate the necessary downside power for the larger E leg. NEoWave, remember, allows exceptions to rules at important market turning points or under “unusual” conditions, like end of larger patterns or wave, such as a Terminal.

Also, Triangles and Terminals are exceptions to virtually all rules. Since Diametric pattern is made up of Triangles, NEoWave “Exception Rule” applicable to these patterns.

Since we were at an important turning point in Jan‟13, and dealing with Terminal and legs of Diametric, perhaps pattern implication rules could satisfied to the full extent.

Does it really matter whether the Sensex achieves the pattern implication accurately within the time-price parameters, when the general directi the secular market has been largely -ve as we suspected since Dec‟12 ?

As we argued, the larger bear phase is already visible in the broader market. Since „Dec‟12 we turned cautious as the rallies were getting smaller (shapin Terminal), and also because of the „Jan topping cycle (discussed separately). Sensex, consumed 59 weeks to retrace 84% of its preceding 13-month fall, which also was a 59-week affair, as shown on the chart below :

The rally, accordingly, was considered slower, corrective structure as per NEoWave, and not as part of any fresh rally.

As per NEoWave, most channeled moves enclose a Complex Corrective structure involving “x” wave. Complex Corrective involving 2 correctives, join one “x” wave, is called a Double Combination, and carries a pattern implication of not more than about 80%.

Further, as depicted on the chart below, since Nov‟10, it has been generally useful to consider 61.8% to 80% retracement area as crucial for termi moves.

The post-Nov‟12 rally is now retraced by 100% on Sensex, but more than 100% on broader indices. The larger picture of Diametric from „2008 o is, therefore, considered still valid.

That would mean 13-month long D-leg has ended at Jan‟13 highs, and 13-month long E-leg started thereafter. Only a move above Nov‟10 / Jan‟08 high make the larger picture invalid. Please see the monthly chart of Sensex showing the larger Diametric from „2008.

BSE Dollex-30 Index

Meanwhile, since the FII activity turned a prominent factor in the Indian stock market, we examined the development of BSE Dollex-30 Index, which sho Head & Shoulders formation around Oct‟12 on its Daily chart.

Its downsides later achieved the Head-to-Neckline projection on downside, as we expected. Since the projection level also matched with its 200-d EMA, we suspected some pull-back to the Neckline. As can be seen on the Dollex-30 chart below, the Index recovered back to its Neckline level for the 2 Neckline.

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time, but has now reacted from heavily f

The Index protected its Nov‟12 lows, and bounced back. It has now reacted from 80% retracement level to Jan-Apr fall, and is testing the crucia day EMA once again.

Yearly lows Sensex has broken „2010 low of 15652, and now in „2012 is found holding the „2011 low of 15136.

As the past instances would show, once the yearly low gets broken, a minimum of 20% cut from the low has been a usual pheno though gradually. A 20% magnitude reduced from 15652 would calculate to about 12500 for Sensex.

This level has not been touched so far, but should be remembered as a crucial level which matches with the huge gap-up action to the Weekly chart discussing 32-week cycle) seen during the „2009.

32-Week time cycle The development since Mar‟09 has followed a 32-week time cycle, as shown on the chart below.

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This was used for raising a possibility that an important low would be formed around 20 Aug‟11. Sensex responded by hitting t th bottom on 26 Aug.

This cycle had also raised the possibility of an upward/sideways phase that could survive for 32 weeks from Aug‟11, and end eit th st 4 Feb‟12 or 31 Mar‟12, developing as a ranged movement like the Left Shoulder. The upward phase ended during Feb‟12 as pe cycle.

Going by the structural possibilities from this cycle, it was suspected that Sensex could be forming an “e” leg of a possible Extractin Triangle, which would remain smaller than the “c” leg. The “e” leg did remain smaller as suspected.

As we already know, Extracting Triangle is a pattern which shows smaller rallies and bigger drops. Thus in one direction, it shows e and in the opposite direction, it shows d > b.

Above 18000, Right Shoulder became bigger that the Left Shoulder, which appeared rejecting the Head & shoulders or “Extractin Triangle” argument. However, the 32-week time cycle may remain valid as a cycle even from here.

The Sensex was seen testing the “Neckline” shown on the chart, which did prove crucial, as Sensex bounced several times from Neckline.

Another idea would be to mark the entire development as a Diametric, instead of Extracting Triangle, and the same is now marke the chart. These assumptions indicate an incomplete B, but confirms only on faster drop below the Neckline, which is still awaite

30% Principle

All major tops are characterized by 30% drop from the top value. This is normal not only inside a bear phase, but is commonly s even inside a bull phase too. The 30% taken out from the current top value on Sensex (21109) would be less than 14800.

The total loss so far, from the high of 21109 to 15425, measures around 28% so far. However, on BSE Small-Cap and MidCap Inde loss from „2010 high does measure more than 30%.

Overall, it was argued much earlier, that we would see a topping formation spread over 2-3 month period beginning „Oct‟10. This out well as suspected. Indeed, as was observed, 60% of stocks topped out during „Oct‟10 itself, and many have already shaved o much more than 30%, though Sensex itself shaved off only 28%.

Comparison with Jan'08 top formation

We compared the „2010 topping formation to the movement from Oct‟07 to Jan‟08, a 2.5 month period just before the high of 2120 hit on Sensex. This was also an extremely volatile period of nearly two months, just before the market actually topped out.

The following chart of „2008 period shows two equidistant parallel channels. The Sensex broke above the original channel and ac an equidistant height at the upper parallel, before reacting lower into a bear phase.

One may observe the volatile development once it reached closer to the upper parallel. Inside this volatility, the market faced number of se th beginning Oct‟07, before it finally topped on 8 Jan‟08.

A similarity can be drawn for the „2010 top formation with the developments of „2008, as shown below.

2450-point Grid chart for the Sensex

Sensex has been following a Grid of 2450-2500 points since „2008. These Grids are shown on the Weekly chart of Sensex below. One find a bottom or a top getting formed at each of the Grid levels. Index is now re-testing the Grid level at 20250.

The larger picture Our markets, remember, has seen multifold rallies previously, each time continuing for about 4 (four) years, after which, it usually a multi-year consolidation phase. In other words, “long-term” has always meant 4 years in Indian context.

Remember, Sensex rallied 11-fold from 390 (Mar‟88) to 4546 (Apr‟92) in four years, after which it consolidated for 11 years from „1992 „2003. In „2008, it completed another 4-year rally from „2003, during which Sensex rose 7-fold from 3000 levels to 21000. It may now consolidate for 7 year, beginning „2008, preferably forming as a Triangle or Diametric.

We explained that the 14-month fall from Jan‟08 was a Triple Combination “A” leg of a large multi-year consolidation. The correc phase beginning Mar‟09 retraced about 99% of the previous fall from 21206 (Jan‟09) to 8867 (Mar‟09), (which was labeled as a Triple Combination). The longer time required while rallying is symptomatic of its corrective label of “B”.

The rally from 8047 (actually beginning at 8867) was, therefore, considered as the “B” leg. The next leg downwards would be labe nd “C”. Such a-b-c development since Jan‟08 would be considered part of the 2 wave of what appears as a probable Terminal beg „2003.

Even though we saw the market reaching levels above Jan‟08 highs, the multi-year consolidation is expected to shape up like a l decade-long Diametric, looking similar to the consolidation we saw from „1992 to „2003. Our trading/investment strategies should be designed accordingly. nd

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The suspected corrective phase beginning Jan‟08 would be the 2 wave within the larger 5 wave. This 5 wave is suspected to be st forming as a Terminal due to absence of impulsive behavior in its internal 1 wave. The “Terminal” confirms when the Sensex drops the 2-4 line of one higher degree.

One may see the Yearly chart in Appendix, which shows the 2-4 line and its values for the next three years. Remember, Terminal develo usually violates the 2-4 line.

The Sensex is assumed to be under the influence of a large 8-year cycle ever since its birth. As shown on the chart below, '1984 was the beginning of 8-year long bull-run till '1992. In our Super-Cycle Degree count, shown on ASA Long-Term chart under a separate paragr we‟ve considered „1984 as the beginning point for the most dynamic 3rd wave.

The next two important turning points occurred exactly 8 years thereafter, in '1992 and '2000. Both these turning points were marked stock market scams, because of which, the leaders of the rally had extremely difficult time later. For example, ACC, the leading stock of '1 market, remained below its highs till end of '2004. Similarly, the IT stocks, which were leaders of '2000 rally, lost as much as 90% of their t valuations by the year '2003. During „2008, we were sitting on this very important cycle, which therefore, threw up similar possibilities.

In the previous 8-year cycle top during „1992, Sensex lost 57% from 4546 to 1980. In the next cycle top, the cut was almost 58% from in „2000 to 2594 in „2001.

We had, accordingly, targeted sub-10k levels for Sensex price-wise during „2008-09, and a minimum of 13 months into bear phase, t wise. The price-time targets were achieved as Sensex dropped 63% from 21206 to 7697. The yearly channel, shown below, which was us earlier to project 20000 level for the Sensex during „2007, was broken when the Index moved below 17200. Break of this long-term chan also weighed in favor of a larger corrective phase following this 8-year cycle.

Appendix : Super-Cycle-degree Wave-scenarios for Sensex

For Super-Cycle-Degree wave-scenario, consider following ASA Long-Term Index. This Index has been created by combining a very old I compiled by a British advisor (from '1938 to '1945), with RBI Index ('1945 to '1969), F.E Index ('1969 to '1980) and Sensex (thereafter till d

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The wave-count presented shows that the market is into the lower-degree 5th of the SC-degree 3 or 5 wave.

The detailed wave-count from „1984 onwards can be seen on the Monthly chart given below. The 2-4 line shown on the ASA long-term Ch rd th above, and Monthly chart below, would determine if the post „1984 Impulse is a Super-cycle-degree 3 or 5 .

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Super-Cycle-Degree 3 (or 5 ) began since Nov‟84. Its internal 3 was an “extended” leg, which achieved exactly 261.8% ratio to the 1 o th st scale. The Sensex is now forming the 5 Wave, and the same could develop as a ”Terminal”, because its lower-degree 1 wave from May onwards developed as a Diametric (which is a “corrective” structure, rather than an “impulse”). Within the non-directional legs, 2nd was ex 61.8% of 1st value-wise, and 161.8% time-wise. The 4th was 38.2% of 3rd value-wise, and 261.8% time-wise. th

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While the 4 is shown as a 3-legged a-b-c Flat on the monthly chart above. Alternatively, the 4 is shown as a 7-legged a-b-c-d-e-f-g Bow Diametric on the Monthly chart below. The chart below also shows 11-year parallel channel from Apr'1992 to May'2003. As shown, if one p

the width of this channel on upper side, such a projection gave 20000 as the “minimum” target. This forecast was achieved.

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As mentioned above, the lower-degree 1 from May‟2003 to Jan‟2008 appears to be a Bow-Tie Diametric, marked as a-b-c-d-e-f-g. It is ca "Diametric" because it combines two Triangular patterns, one initially “Contracting” up to the "d" leg, followed by an “Expanding” one. The contraction point is the "d" leg, and the legs on either sides of it tend to be equal. Accordingly, "c" and "e" were equal in "log scale", both sh about 60% gains. Similarly, "g" was equal to "a", both showing about 115% gain. st

The Diametric development from „2003 to „2008 is considered to be the 1st wave of the Impuse. Due to the corrective structure in the 1 le th higher-degree 5 could be developing as a Terminal. Since „2008, we are into its 2nd wave, which could continue to develop over a period years beginning „2008.

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As per NEoWave, break of 2-4 line confirms a Terminal development, and If the 5 proves to be a Terminal, the Super-Cycle-degree label th th rd th th will have to change to 5 , because only a 5 of a 3 cannot be a Terminal. Only a 5 of the 5 can be a Terminal. The Super-Cycle-Degre st nd rd th marking for 1 and 2 as shown on ASA long-term chart, would then change to 3 and 4 respectively.

Disclaimer : These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequence resulting out of acting on