BCON's Dramatic Spike Late Last Week Might Be Wave B
BCON's dramatic spike late last week appears to be a countertrend Wave B instead of a short term Wave 1 of a new monthly upcycle discussed previously, especially given Friday's bearish very large spike and the absence of a bullish inverse spike at 1.40, which might be but probably isn't a monthly cycle low, see http://stockcharts.com/charts/gallery.html?bcon.
If BCON is in a monthly upcycle since putting in a cycle low at 1.40 on Wednesday (http://finance.yahoo.com/q/ta?s=bcon&t=5d&l=off&z=l&q=c&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c==) then it should put in a short term Wave 2 down cycle low above 1.40 obviously, probably this week. Sometimes the Elliott Wave count isn't clear and one has to be conservative, and, assume Wave B occurred rather than Wave 1 of a new monthly upcycle, until a short term Wave 2 cycle low (potentially) clearly occurs or the potential monthly cycle low is taken out.
Also, signs that support the likelihood of a countertrend Wave B peaking at 2.09 early on Friday (http://finance.yahoo.com/q/ta?s=bcon&t=5d&l=off&z=l&q=c&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c=) rather than a short term Wave 1 are the very brief huge spike move from 1.40 to 2.09, most of which occurred in about one session's time, that's uncharacteristic of a short term Wave 1, it looks more like a countertrend Wave B upcycle/reflex rally, and, the bearish huge spike on Friday's candle plus the lack of a bullish large inverse spike on Wednesday's candle, when the cycle low at 1.40 occurred, mean that one must assume that 2.09 was a countertrend Wave B cycle high on Friday, see http://stockcharts.com/charts/gallery.html?bcon.
Also, BCON has unfilled downside gaps at 1.42, 1.14, 1.07, 0.92, and at 0.83, see the historical data at http://finance.yahoo.com/q/hp?s=BCON. After BCON closed at those prices it never fell back to close those gaps in subsequent sessions (session cycle lows are above the previous closes at 1.42, 1.14, 1.07, 0.92, and at 0.83). The downside gaps at 1.14 and 1.07 are close together and realistically might get filled in Wave C, but, 0.92 and 0.83 are probably bullish breakaway gaps and will remain unfilled.
....... http://www.JoeFRocks.com/ .
If BCON is in a monthly upcycle since putting in a cycle low at 1.40 on Wednesday (http://finance.yahoo.com/q/ta?s=bcon&t=5d&l=off&z=l&q=c&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c==) then it should put in a short term Wave 2 down cycle low above 1.40 obviously, probably this week. Sometimes the Elliott Wave count isn't clear and one has to be conservative, and, assume Wave B occurred rather than Wave 1 of a new monthly upcycle, until a short term Wave 2 cycle low (potentially) clearly occurs or the potential monthly cycle low is taken out.
Also, signs that support the likelihood of a countertrend Wave B peaking at 2.09 early on Friday (http://finance.yahoo.com/q/ta?s=bcon&t=5d&l=off&z=l&q=c&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c=) rather than a short term Wave 1 are the very brief huge spike move from 1.40 to 2.09, most of which occurred in about one session's time, that's uncharacteristic of a short term Wave 1, it looks more like a countertrend Wave B upcycle/reflex rally, and, the bearish huge spike on Friday's candle plus the lack of a bullish large inverse spike on Wednesday's candle, when the cycle low at 1.40 occurred, mean that one must assume that 2.09 was a countertrend Wave B cycle high on Friday, see http://stockcharts.com/charts/gallery.html?bcon.
Also, BCON has unfilled downside gaps at 1.42, 1.14, 1.07, 0.92, and at 0.83, see the historical data at http://finance.yahoo.com/q/hp?s=BCON. After BCON closed at those prices it never fell back to close those gaps in subsequent sessions (session cycle lows are above the previous closes at 1.42, 1.14, 1.07, 0.92, and at 0.83). The downside gaps at 1.14 and 1.07 are close together and realistically might get filled in Wave C, but, 0.92 and 0.83 are probably bullish breakaway gaps and will remain unfilled.
....... http://www.JoeFRocks.com/ .
Labels: Gold, Gold Stocks, HUI, NEM, Silver, Silver Stocks, SPX, XAU
posted by Joe Ferrazzano at
12:40 PM
