5.10 – 2009,
HPQ trade below closed as target met today over the weekend.
Opened another long position for pretty interesting EW setup. Merck offered reasonable massive shorting pattern earlier, but it refused to drop more as 1.27 target was met (with this same pattern with RIMM gave huge plunge in percentage terms).
Merck is building sideways triangle, which is bullish as 2 of the waves related each other by .618%. More over price was also retraced by .618% on last week. As an alternate this is ABC corrective structure since bottom and if triangle fails drop could be significant. My stops are placed for .618% line. Often bullish triangle is offering fast and furious (often also short) W5 impulse. Pattern might require some time to develop inside of the triangle because none of the waves inside of triangle has not taken yet complex structure and one of them should (usually it´s D wave).
