IGT, MSCC, SQ, TSLA updates 01/09

IGT: We detected unusual call buying activity and the charts look good for more upside. The daily chart has a classic potential bullflag formation (dotted lines) that target $32.50. Symmetry breakout (black squares) also targets $32.50. That’s a nice confirmation. Cont’d below.


The monthly chart looks good as well, with a similar price target and possible as high as $36.IGT monthly



How to trade this: long with a stop at 25.85.


MSCC: Also here we detected a lot of unusual call buying. Weekly chart shown. Seems like one more 5th wave up is missing. The 3rd wave hit the 1.618x extension to the T (text book) and the 4th wave decline to the 76.40% extension (100% is textbook in this case, but we’ll take it). Wave 5 should now be underway: 3 of iii of 5. The ideal target is the black 200% extension at $63.08, which coincides with the red 200.00% extension at $65.39 and with the green 200% extension at 64.11. In addition, the blue triangle breakout targets $63ish. If there are 4 different ways to get to about the same answer then IMHO the odds favor it will be reached.

MSCC weekly

How to trade this: long with stop just below $50 and/or at personal comfort level.


SQ: Also here lots of call buying of late. Not too surprising as the EWT count using the monthly candles suggests major-5 of Primary I is underway. Note the classic 1.618x extension for (red) intermediate-iii and the how intermediate-iv bottomed at the 1.000x extension. Normally wave-5 then ends at the 2.00x extension, but in this case the market decided to severly extent intermediate-v. Hence, why standard Fib-extensions and retraces are all we can go by until disproved as extensions can’t be forecasted. At the major-3 high the RSI5 was max overbought, classic for a 3rd wave, and now there’s the potential for negative divergence a few months down the road. Which can usher in primary II.  Since major-3 was very extended it’s hard to forecast a price target for major-5, but it should be north of $50.

sq monthly

How to trade this: long with stop at $34 or at personal comfort level


TSLA: Starts to look and behave more and more like major-5 is underway. There were five (green) minor-waves down for (Red) intermediate-c of major-4, with a failed minor-5. Off the early December-2017 low, we can then count 5-waves up for intermediate-i and intermediate-ii should have bottomed last week. Note that price moved back above the red downtrendline/arrow and wave-ii found support there very nicely. Price now moved back above the 200d SMA and should be in intermediate-iii. IF it follows the ideal fib-extensions than the 200% extension is at $400.44, which is close to the 176.40% extension for major-1 at $402.84. All daily TIs are pointing back up, and minor-1 is likely now underway.

TSLA daily alt

How to trade this: long with stop just below $305.96. or $300.00 or at own personal comfort level.