Is the Semiconductor Index Able to Rally?…

Nevertheless, now that the purple W-v is extending, i.e., subdividing in EWP phrases, into the inexperienced W-1, 2, Three, Four, 5, we will see that it to date bottomed proper on the 161.eight% extension, and the index additionally peaked inside the best inexperienced W-Four goal. Thus, we should assume the inexperienced W-5 will attain the 1.764-2.000x goal zone at $Three,323-Three,183 contingent on holding beneath final Wednesday’s excessive at $Four,374, with a extreme warning for the bears above $Four,129.

The BIG Image

Since our EWP rely signifies an unlimited Cycle-Three wave peaked in 2024, as proven in Determine 2 beneath, we’re presently experiencing a Cycle-Four wave. Fourth waves are sometimes described in EW terminology as flat corrections. Moreover, EW idea features a rule of alternation: Wave Four differs from Wave 2. On this context, Cycle W-2 was an prolonged nine-year-long zigzag; due to this fact, Cycle W-Four is more likely to be a multi-year flat.