Monday, October 15, 2007

A failed 1-2-3 reversal

I'm going to point out a failed Sperandeo 1-2-3 reversal. I guess you could call this one a 1-2 continuation :) The test of the highs proved unsuccessful and so the trendline has now changed to a slightly lower angle and the trend has continued up instead of reversing. We now look like the HUI is on it's way to a technical rule #1 advance (A move followed by a sideways range often precedes another move of almost equal extent in the same direction as the original move. Generally, when the second move from the sideways range has run its course, a counter move approaching the sideways range may be expected).