AEM , Agnico update

See our Febr. 2012 blog. We recommended this stock at $33, a little below the market at the time , for a move to $40 and , perhaps, $44. Here is today’s chart;

AEM june 2012AEM s June 2012

Notice that the chart on the left has a big gap, often indicative of a 3d wave. The more detailed chart on the right shows a clear A-B-C with a C as “diagonal” read wedge. Therefore this is a corrective, counter-trend, move, most likely a 4th wave. Here is the total picture.

AEM june 2012 b

First of all from $33 (the was $32.50) to $40 or $44 resulted in a handsome profit of as much as 30+%. If you have not sold yet, you should. Using the highly sophisticated gap-in-the–middle approach this stock could fall to about $17.50, which, as it happens , is also where wave 5 would equal 1. We have counted wave 2 as irregular to accommodate the alternation guideline, this may or may not be accurate, but it is a virtual certainty that this stock is going lower.