Running double three ... A bullish setup

3 May

I would label the correction that has been occurring for the past two months as a running double three (W-X-Y) as depicted in the chart. The W wave is a zigzag and the "running" X wave that retraces beyond the W wave is a zigzag (abc) with the 'a' wave being an expanding leading diagonal as described in my previous post. I will label the correction that occurred over the past two weeks as a Y wave, an expanding triangle.

With extensive studies conducted over the past decades, it is commonly understood that triangle is usually the final component of a complex correction.

We should be on the verge of a bullish rally of at least 1.618 times that of wave (1), with a target price of wave (3) to reach between 112 and 114.

let's see if my analysis is correct and if this minimum price target of 112 will come to fruition.