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Sunday, September 4, 2011

DIA - 3 months ( 60min & daily chart)

Observations :
-------------------
. Price/Stochs : Bullish divergence
. Correlation between Price, Stochs & Elliot Wave
. There are 3 recent lows on the 60min Stochs charts, 10/8/11, 19/8/11, 02/09/11
. A rally ensued after the first 2 Stochs low.
. Signifying an end to a short term wave.
. what is interesting is that the first 2, 60mins's Stochs low also coincide with the Stochs low
On the daily chart.
. Implying an end respectively of a significant wave count.
. Therefore 10/8 and 19/8 low is of a significant terminal value in itself.


. The 3rd recent Stochs low on the 02/9/1, 60min chart however DOES not correspond to a
significant Stochs low on the daily Stochs !
. Implying that the recent drop is a corrective phase of a larger upward trend.

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