We can bottom out around 4600, becoz the last 5 waves of the 5th of 5th, are getting to be shorter and shorter, the 3rd is shorter than 1st.Also the top of wave 4 of C at 5400 goes above the low of 1 of C at 5328, this implies that the next upside shud ideally be quick and strong.
Add to this that daily n weekly MACD, as also weekly RSI give strong positive divergence , daily RSI mite also follow suit.We are bottoming out for now. Confirmation of going up comes on crossing above 5400.
In an event that we go below 4600/4550.... my view mite change....becoz then the wave count mite change.
We cud have a good upside to 6300 odd also from here.
Roughly wave A(of B) was 4000 points n upside wud be .382 of A or .5 of A or .618 of A or equal to A.(too much that wud be).
Wave A (of B) was due to monetary easing by US.... who I think wud have more arsenal than EU.... so I do not think that the upside now will be equal to A.... wud certainly be less...as of now taking it to be .5 of A wud give us
4600+2000=6600 as a possibilty!!!assuming we bottom out at 4600.
Lets see.
