This is a semi-log scale chart. See also previous blogs. The big picture (not shown ) is very erratic so this is a very tentative interpretation. From the low one would expect – as a minimum – an a-b-c up rebound. We had a furious a, then a long period of consolidation and now the c. The c cannot be over yet. In the worst case we are in a wedge that targets something like $4, in the best case the two legs will become, proportionately, equal at about $5.5 Time will tell.
This is an old chart from November 2011. We are well on our way as yesterday the stock hit $36. Not sure where we are in the sequence, probable a third wave considering the speed at which it is going down.
We are selling our position is TRQ for a 25% profit. It did what we expected but without the gusto. There was clearly no triangle and all this is working on our nerves. We suspect that the proper count would include a shallow sloping c-wave which is complete except for a very minor 5th wave. This stock SHOULD be trading at >$6 by now and it is not.
AEO continues to perform according to our expectations. It was briefly down $9 on $23 or roughly 40%. No idea what the count is other than it is definitely not complete. This is probable a 3d wave. Ultimately we should get to $12 but RSI and MACD indicate a possibility of a brief turn soon. If nervous buy it back otherwise stay with it, perhaps with a stop buy order for protection.