AYE Update

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May 30, 2009

AYE did not have wave 3 of one larger degree. Its wave structured turned out to be corrective in nature. Following the Fibonacci inflection level, there was a minor $4 rally but it did not break out to new highs. In my posting, "Volume Characteristics Very Bullish"; I noted that this rally would not be broad based. I overlooked the cyclical nature of the market. Commodities and commodity related equities would begin rallying during the later stages of a bull market. Since the bull was in its infant stages during the recommendation, it was simply too early to buy a stock like AYE.