VituVingiSana wrote:mnandii wrote:Applying Elliott waves can sometimes result in unbelievable forecasts. But Elliott Waves is simply the rigorous application of rules and guidelines and you have to then follow where they lead you.
So I am surprised by the forecast I am getting on KENYA AIRWAYS (KQ)
From a top of 18.43 on 20th DEC. 2017 KQ fell in three waves to complete an ABC pattern ending at 1.89. By rules and guidelines of Elliott Waves, three wave moves are usually more than fully retraced by the subsequent wave pattern.
In our case here KQ has found
a bottom at 1.89. I now expect KQ to rally to an interim target of
12.90 being the end of blue wave B. An immediate move to 5.5 should be good indication that the rally scenario is playing out. As the pattern stand now, blue wave C is Fibonacci 1 times blue wave A. So I am bullish KQ. The very negative news on KQ should serve as sentiment extreme from whence KQ should rebound. [ Buy when there is blood on the streets]
If on the other hand KQ manages to fall further below 1.35 then there will be no helping it. My Elliott forecast will have been invalidated and I will look to apply an alternate.
You have made @Obiero's weekend!
I would sure like to mark this post to review in 8 months.
"Buy when there is blood on the streets" refers to good firms being (temporarily) pummeled not dead horses being whipped.
Can we revisit this on 2nd Oct 2020? Do feel free to remind me if I forget.
This was a specific forecast for those who don't bother to research.
There are several others and especially Safaricom which has quite clear Elliott wave patterns.
Safaricom is already falling toward my target of 14.00. If you insist on holding the share then you might as well forget about it for some 1 to 2 years before it can find a bottom.
Conventional thinkers waste time building shelters when they are unnecessary and then have no shelters when they need them the most. Socionomists do the opposite.