Tuesday, August 11, 2009
Hang Seng reached in sink with almost all other indices the red alert level that means you have to start selling into the 21500 area and above. We have a clear wave count and are in the final phase of wave 5 - we still have potential up to 22000 and 1-4 weeks for the distribution. In the final phase we will have a big sector rotation so some sectors might still have more scope left so you have to do a little homework to see where you start selling out but a bigger downside correction is due soon and volatility will rise in any case as we will have stronger swings going forward. We made a 50% retracement up and can loose easily half of that at least down to 17000 we have to see going forward as we will see more market manipulation and government intervention with markets turning lower. We will see around end of Oct. what the situation looks like.
Posted by getagrip at 7:03 AM