Wednesday, 8 April 2015

Hang Seng bursts higher from 3.5 year old wedge

For some time I have been bearish the Hang Seng against the 2014 high, a stance which was proven wrong in spectacular fashion today as the market burst higher. Lucky there is a difference between bearish and short. Well not really luck... forecasting a change in trend is one thing, but my systems trade with the trend. I've tweaked the long term wave count... no major surgery required. The count can survive the rally continuing higher for some days/weeks/months, even to above the 2007 high, but further rally is not required.