SSEC could be a good potential investment

I meant to write this blog sinc ea few days ago, unfortunately my service provider M1's system is really bad. The traffic actually came to a a stand still until I gave up, not one time, but a few times. Seriously M1 really need to beef up its coverage on WIFI.

Ever since I have read the book on elliott's wave, I have done my best making wave counting a necessity to my system of measurement on every chart. SSEC was one that I actually made quite a few attempts on the wave count process, unsuccessfully. Its move between September 2007 till October 2008 was in a wedge formation. However, its downward movement was confusing because it resemble a 5 wave pattern instead of 3. while the move from October 2008 till July 2009 I can hardly find a pattern of the 5 waves. The most I can say it is either a short a and b wave with a long c, completing a counter wave of a sort, or at least part of it. It is not so possible for me to count the first wave as a one because of its zig zag behaviour (3 wave).


Fig 1 SSEC Weekly Chart

SSEC most recent's move (July 2009 to March 2010) created a congestion pattern, a potential symmetrical triangle. This formation would normally appear as a counter wave. The best I can come up with is the completion of A wave and in process of B. This again is part of a bigger counterwave started since 2007. The major A started September 2007 and completed by October 2008. The present A and B (in progress) is part of the major B.

With B being a triangle, chances are and upward C which would first fulfill the triangle objective followed by completing the Zig Zag move. As such, SSEC or its components would definitely be a good choice for a short term investment.

However, charting always show 2 sides of the story. There is always a chance that SSEC breaking out from the triangle on the lower envelop. Even if this is so, I feel that now is still not the time because you need 5 waves (abcde)to complete a triangle like this.