XEL

Jackozy

Although I try not to bring fundamentals into this, I think the RNS in mid april brought a sea change to XEL. The initial spike reacting to the good news in the RNS and the subsequent decline due to the new timeframe in the same RNS.
I am sure that the chart would have done something completely different since then if not for this RNS, Ive no idea what , but something different.

How do you allow for this in EWT or do you completely ignore it.??

Sorry if this is a boring question that gets asked a lot.

107.75p is still a resistance from the earlier price low, but it no longer has the same relevance as it did when I posted about it since there's been an additional wave down since then.

At the time, 107.75p was the limit for the wave 4 up. Now the pattern has developed and we need to assess where we're at. There's resistance at 104.75p which seems to have held for now and the last price high and 38.2% Fib both at 103.5p.

There ought to be a retrace from here and then a 123-low breakout to form a wave C (I think this is a wave A up now) up to perhaps 112.5p where the 61.8% Fib will meet the downtrend resistance from the 248p high in July 2011.



dl.dropboxusercontent.com/u/20815047/XELdaily20_05_13.gif

I was expecting a bounce, I just thought it'd come from a bit lower down so I've missed this move.

Nev
What are the clouds?

Jackozy
What is you few on a short if this reaches 107.75?

XEL - RNS relating to sale of data stimulating the SP today!

Hi twl2009,

What I meant by that statement is that this apparent 5 wave move down from 127p is unlikely to be the last sequence down. I do expect a bounce off 83p (which I'll buy and look to off-load at c. 103/4p) but the whole pattern here has a very bearish possibility as discussed in the chart below.

The whole sequence from the last visit to 83p looks to me like 3 waves followed by the current 5. The only bullish interpretation is for the move since 140p to be a final ABC in a complex correction from 425p. This is possible but there are more bearish options. 83p remains strong support from that last low and the main uptrend support from the 2p days so until that level gets taken out there's always hope!



dl.dropboxusercontent.com/u/20815047/XELdaily19_05_13.gif

PS I was bullish on this until it failed to reach 140p. I'm now bearish on this but I'm still expecting that bounce off 83p area.

i wouldn't get too excited by the divergence... I would get excited if we could break above the clouds.. Though I doubt that will happen any time soon..