SGX – Correction Coming to an End

The SGX moved up with a swift thrust up from 5 Oct 2011. This was followed by a correction that has retraced almost all of that gain. It’s hard to rally up when the rest of the markets are all down. This is the problem with being bullish on a particular counter when all other markets are bearish. But based on the charts, SGX is still looking good for a bullish move.

The move up is most likely Minute [w] and the move down is Minute [x]. I’m expecting Minute [y] to kick in soon and the target for Minute [y] is 7.24 ([y] = [w]) or 7.83 ([y] = 1.6x[w]).

SGX Primary Elliott Wave Chart 25 Nov 2011

Alternate View

The Alternate view is that the move down is Minute [i] of a major move down. This count though valid is not the the preferred count as triangles rarely occure at waves two. Also, the volume on the way up is higher than the volume on the way down. Therefore, I’m still bullish on SGX.

SGX Alternate Elliott Wave Chart 25 Nov 2011

Midas (5EN.SI) Review

I had published a post on the multi-week bull run for the Midas two weeks back. Well, the bull run did not materialise yet and instead it has been bleeding slowly downwards with extremely low volume. I still think that Midas will run up but the target may not be as high. I’m looking at a target of 0.535 at most for now. A low below 0.315 will invalidate this call.

Midas Primary Elliott Wave Chart 25 Nov 2011

 

Hang Seng Index (HSI) Weekend Review 25 Nov 2011

The correction on the HSI has been deep and it has retraced 61.8% of the move up from 4 Oct 2011. Presented here is the Primary chart. The move up from 4 Oct 2011 is labelled as a Minor W and the correction that is in progress is Minor X. The next expected move is Minor Y which is targetted at 21728 (Y = W) or 24272 (Y = 1.6W).

HSI Primary Elliottt Wave Chart 25 Nov 2011

Alternate View

The Alternate view is that the move up from 4 Oct 2011 is Minor 4 and the move down that followed this is the first wave down of Minor 5 which is Minute [i]. The next expected move is Minute [ii] which is expected to retraced 61.8% of Minute [i] giving a target of 19325.

HSI Alternate Elliottt Wave Chart 25 Nov 2011