A HAppy Chinese New Year!

First thing first, a Happy Chinese New Year!!!! Or may be not.....


Fig 1 STI Daily Chart

Okay, seems like STI is still on track so far, it looks like a 3 waves move right now and now retreating with the "b" of "B" (likely). So if this is the height of B wave, then a zig zag motion will lead STI to 2,512.

In an alternative count, we might still be in the 4th wave of this down wave and it may have completed the C of the 4th, now heading for 5th. Only then, we would be seeing the zig zag "B".

The Stochastic so far has reached the top and turning down. Not so for RSI, it is still not at the top yet. So there is a chance that the top is not yet there. While this is so, STI has formed an evening star candlestick, so the chance of heading south is still higher.