DAL, CMG update February 24, 2016

DAL: Price surpassed our ideal b-wave target zone of the 38.2 to 61.8% retrace and instead went for the 76.4% retrace. Most likely major a and b (not primary A, B, as shown here) are in. Please note these targets are based on the assumption that Primary A, will be a zigzag, but it may well form a flat correction. Once can hardly ever predict what type of correction it will be before hand, besides the “rule of alternation” between 2nd and 4th waves. Zigzag followed by flat, and vice versadal


KR: although not featured on our ticker list anymore, it’s a good example of where the market is; since it’s such a “main staple stock”. We can see price appears to be forming a (bearish) ascending triangle: sellers are stepping in earlier and earlier at lower prices. If this pattern is correct and not invalidated with a move back over the red trendline than the red rectangles show a break below the horizontal red line will target the full width of the triangle: $29. That will then be major a in our opinion.