AAPL Elliott Wave Technical Analysis – 30th May, 2013

Last analysis expected downwards movement which is not what happened. Price has moved higher, but has remained below the invalidation point on the daily chart so the wave count remains valid.

This long deep upwards movement looks to be of a higher degree than initially thought. I have adjusted the degree of labeling within recent movement up one degree.

Click on the charts below to enlarge.

AAPL Elliott Wave Chart 2013

This wave count expects a five wave impulse for a cycle degree wave a is unfolding to the downside. Within the impulse primary waves 1 and 2 are complete. Primary wave 3 is extending. Within primary wave 3 intermediate waves (1) and (2) are complete. Intermediate wave (2) failed to move above the high of minor wave A at 469.95 and has completed as a rare running flat.

Within intermediate wave (2) minor wave C is just 2.17 short of 1.618 the length of minor wave A.

At 289.78 intermediate wave (3) would reach equality in length with intermediate wave (1). When there is more structure within intermediate wave (3) to analyse I will add a target calculation at minor degree for it to end, so this target will probably change.

At 272 primary wave 3 would reach 1.618 the length of primary wave 1. This long term target is still months away.

Within intermediate wave (3) no second wave correction may move beyond the start of its first wave. This wave count is invalidated with movement above 465.75.

I have considered various possibilities for this downwards movement from the high labeled primary wave 2. What is most clear is that the middle of primary wave 3 has not yet passed because we have not seen momentum increase beyond that seen for primary wave 1. Primary wave 3 cannot be complete.

When this next five wave impulse labeled primary wave 3 is complete we shall have to consider that may be the end of cycle wave a as a three wave zigzag if super cycle wave II is unfolding as a big flat correction. I will consider that alternative at the appropriate time if it remains a viable alternate.

AAPL Elliott Wave Chart 2013

Upwards movement looks so far like a second wave correction. Second waves are often very deep and so this has a typical look.

Within minute wave ii minuette wave (a) is a leading diagonal and minuette wave (b) may possibly be a triangle.

At 460.50 minuette wave (c) would reach 0.618 the length of minuette wave (a). At 461.49 subminuette wave v within minuette wave (c) would reach equality in length length with subminuette wave iii. This gives us a 0.99 target zone for a little more upwards movement to complete this correction.

When minute wave ii is complete we should expect downwards movement with an increase in momentum as a third wave unfolds.

Minute wave ii may not move beyond the start of minute wave i. This wave count is invalidated with movement above 465.75.