The BKX will be one of the driving forces to the downside but confirms our basic assumption that we will get end of the big leg down within 3 (4) weeks from here. We currently make a weekly 10 count and are in wave 5 down and the least we will see is the 46 level again but could even go to 40 easily - since the magnitude of the last wave was 40 and we come from 82 now. Hence, 40-42 should be the target. The weak components are BAC and C but also top peer members like JPM or WFC look vulnerable. The BKX pattern is a perfect confirmation for wave 5 down ın the SPX.
Thursday, October 9, 2008
BKX (Bank Index) heading for new lows
The BKX will be one of the driving forces to the downside but confirms our basic assumption that we will get end of the big leg down within 3 (4) weeks from here. We currently make a weekly 10 count and are in wave 5 down and the least we will see is the 46 level again but could even go to 40 easily - since the magnitude of the last wave was 40 and we come from 82 now. Hence, 40-42 should be the target. The weak components are BAC and C but also top peer members like JPM or WFC look vulnerable. The BKX pattern is a perfect confirmation for wave 5 down ın the SPX.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment