CIMB, a bank stock, has run an impulse waves up beautifully from its base of RM2.9 on November 2nd to RM3.96 on November 17th. It rallied RM1.06 in 2 weeks timeframe. CIMB however take a pause after hitting RM3.96, and retrace to low of RM3.55 on November 20th.
Today CIMB shows some strength and close with green candlestick at closing price of RM3.78. But based on Elliott wave count, this is just a technical rebound movement, and not reversal with its continual uptrend movement.
This rebound countertrend wave is actually forming the wave B of the zig-zag pattern A-B-C. Reason of zig-zag pattern is because wave A is an impulse 5 wave downtrend structure. It is estimated the wave B might hit RM3.81 ballpark value before continue its downward movement to target at around RM3.31 to end wave C (refer to chart).
It is not time to long yet.
Happy trading!
Today CIMB shows some strength and close with green candlestick at closing price of RM3.78. But based on Elliott wave count, this is just a technical rebound movement, and not reversal with its continual uptrend movement.
This rebound countertrend wave is actually forming the wave B of the zig-zag pattern A-B-C. Reason of zig-zag pattern is because wave A is an impulse 5 wave downtrend structure. It is estimated the wave B might hit RM3.81 ballpark value before continue its downward movement to target at around RM3.31 to end wave C (refer to chart).
It is not time to long yet.
Happy trading!
Comment:
CIMB - as long as the price countertrend is not over 3.96, it is still in corrective wave of wave B.