The Greek General Index has managed to double since last June. From the 471 low to 992 last week’s high, the General Index has staged an important trend change both in the daily as well as in the weekly level. For some time now, we have been supporting the bullishness of the trend. Several articles were posted stating that we were most possible in wave 4 and that another upward wave was expected. The targets for this wave were centered around 1050-1100 area. Neverthelss, we have to keep in mind that we are most probably inside wave 5. This is the last wave of the move. Correction will follow. Below is an updated chart of our initial roadmap for the Greek General Index.
An important point in this rally, is the fact that the banking sector has almost been absent from this rally. My expectation is that it will take part and dominate during the 3rd wave upwards. Prices in the General Index have broken outside of the cloud and are expected to back test as wave II right on top of the cloud. Concluding, trend remains up and we are expecting for wave 5 to end near 1050-1100. It isimportant for the upward move to be retained inside the upward yellow channel as shown below.
As always, thank you for taking the time to catch up on my thinking.