Unfortunately we do not have tick charts any longer than 10 days, so we are looking at an incomplete picture. Today Draghi, Bernanky and Pan Gongshen came out with a joint communiqué in which they expressed their unreserved conviction that Niko should close the gap at $21.21 and they promised to do whatever was needed to get it there. Just kidding.

This looks like the start of a third wave (starting from around $13), you are already up 30% or so, why not enjoy the ride. It may go a lot higher!

Last time we looked, about a week ago, it was virtually impossible to tell if this stock had in fact completed the C-leg down in 5 waves. Today we cannot be sure today either but there is some constructive new information. First the RSI and the MACD are both at three year extremes. The count is five waves and hits the lower trend-line if you use the April rather than the August 2010 high; April is the actual high. Lastly, the short-term chart – I can only get 10 days! -  could be counted as an initial 5 wave move followed by an a-b-c down. This does not exclude a normal corrective rebound but it could also mean that a new bull was born. A logical first target would be about $42 . A stop at around $12.25 should be used just in case we have not seen the lows yet.

This stock gives us a glimpse of what we should be expecting from quite a number of stocks in the future. This is an absolutely perfect E-wave. 5 up and then a large (irregular) A-B-C down with C subdividing in 5 separate waves. Whether or not it has bottomed remains to be seen but is not at issue here considering the total range it has already travelled.