STI Broke 2,947!

I went out with my friend today. It was a coincident, I happened to be on leave (supposingly to go back to Malaysia but cancelled due to last minute rescheduling) while he took leave for his medical check up. It have been quite a while since I have done so. Most of my time have been spent on taking care of my kids all these while that I have forgotten the feeling of aimless loitering. It has also been a long time since we sit down and talked about almost everything under the sun.

Oh! How much I have missed this and it feels really good.


Fig 1 STI Daily Chart

I am however, not feeling so good about STI. First of all, it broke the resistance level of 2,947 which I mentioned last week. I was half expected that because to me it was a 50 50 chance. It went higher with gap up, forming a potential evening star pattern. I don't know, it is like toying with me. I am still bearish though after all these "death defying acts".

The indicators are not really giving me a good bullish feeling. While STI has broken the previous high, the indicators have not, in fact at the moment it seems to be showing divergence.

Nevertheless, the whole thing also mark the crossing of the Fibonacci projection 0% mark. The next level of resistance should lies in its 23.6% which is 2,997. Its funny that all these values seems to show that STI is not going to break 3,000.

The only thing that I still left figuring is the wave count. This latest development no matter what is showing a 5-wave pattern. Assuming my wave count to 3 is correct, the whole set up to "c" was actually part of a huge 4th wave and that "c" was actually a looong "b" with the final dip by Febuary to be "c". That should explain how come there are many 3 waves pattern in "b" and "c".

So if this is the fifth of the fith wave, then probably the reversal is not that far away. It could be tomorrow......