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In the previous post, I was calling for 4 sequential price moves in advance of them occurring. They are as follows-
1) Rally from 119.46 to 126.67
2) Decline from 126.67 to 108.68
3)A failed rally from 108.68 which would would test the 126.67 highs.
4)A decline from the failed rally high resulting in large price decline ending at $84.81
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Here are the results-
1)Rally from 119.46 occurred with actual mid-week high coming in at 130. However price failed to sustain at this height and closed the week of 11/29/09 at 123.98. The following week of 12/06/09 Potash gapped higher for the Monday open at 126.5. The stock rallied and put in a weekly high again at 130 but closed the week out at 125.49. The weekly opening and closing prices highlighted the importance and relevance of the calculated resistance target of 126.67. This cleared the way for the second move (lower) to occur.
2)Decline from 126.67 occurred with actual low coming in at 112. My target of 108.68 which was a 61.8% retracement value was never met. Price failed to break below the 50% retracement value located at $112.04
3) Rally from the 112 low (inflection target now moved up to 112.04) occurred with price rallying all the way back up to 130.68. It was noted that this move higher would be a failed rally and would be retraced with subsequent selling pressure. Price has steadily declined since the 130.68 high has been put in place and currently resides at 115.30. Only time will tell if the 4th forecast will come true with price traveling all the way down to $84.76 by February 9th 2010. The time forecast may not be accurate anymore as it is calling for a 26.5% move lower in the next 12 trading days.
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