Friday, September 4, 2015

Avi vs EWI through the eyes of [WDC]

If you walk through the backlinks you will see that my record on calling WDC is pretty fair.  But now we are at a crossroads where I think the herd has to make a decision.  Either it will find support at the lower parallel rail that it sits at or it will plummet down through.  The recent unicorn tail was limited by the support lines which are shown below.

So at this point, WDC only has 3 up from the 2008 low.  If Prechter is correct then the broader markets should be finishing wave 1 down, then perhaps 2-3 weeks for wave 2 back up before the big one hits  - wave 3 down.  It will be interesting to see how WDC plays this but if I were trading this I would own it here and stop out just 1 penny below the unicorn tail.  This could move up to center channel thus forming a DDT and a failed 5th before turning down hard and smashing that lower rail.  If that happens to WDC the smart money will know it is OK to short.  But until we either finish a bullish count or see the bullish bottom just put in broken down, I would be a buyer of this.  In this way, WDC better aligns with Avi than with Prechter.


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