stock update 11/6/2015: revisiting FB, BABA. Update on DIS

FB: After careful reconsideration of our count from last week we have now more data at hand to be more confident about the below count. The chance is that due to today’s price action an intermediate iii peak is most likely, and price is now in intermediate iv. The target zone for iv is shown, which is close to today’s low but could drop a bit further. Lots of support in the low $100 area. Since in this case (red) intermediate iii was just a wee bit longer than i, often the 5th wave (intermediate v in this case) relates as follows: 0.62x (iii+i). This is shown with the white line and assuming iv drops a bit lower, we still achieve our ideal Primary I target zone of $125-$132. Hence the big picture target hasn’t changed, just how we get there: anticipate, monitor, adjust.

fb adjusted

BABA: not too much to adjust, except the new wave degree and also here an intermediate iii=i relationship (as with FB) and that we thus should expect a v=0.62x (iii+i) relationship. Otherwise, check out how well the waves count, and see how the ending diagonal (ED) for minor 5 of intermediate iii worked: price today retraced almost all of it in a single sweep. Price has now also reached the ideal intermediate iv target zone, and retrace about the same amount in absolute $’s as intermediate ii. In addition, price is still channel surfing. Drop to the 61.8% extension ($79) would not be out of the question, though is not necessary. Any lower and we’re out and will need to consider the whole advance as an abc up. Until then we expect an ultimate target of mid to low $90s, reaching the 176.4-200.0% extension of intermediate i, to complete 5 waves up, off a larger abc or new impulse. That only time will tell and is impossible to anticipate.


DIS(ney); chart is really self explanatory. Price is now in intermediate v of major 5 and on track to reach our ideal target zone of $125-$130. Intermediate iii hit the 123.6% extension, while iv retraced between 23.6 and 38.2% of iii; both are text book in our opinion. Since iii was <1.62x i, v will then be 0,62x(iii+i), from iv targeting $127: right in our ideal target zone. Let’s see if it gets there!?!