 (Updated 30/05/99)  N.B. Above Chart is abstracted from Metastock Program Last week, we said that "despite the announcement of Banking deregulation that sparked the upmove in STI, we still expect one more leg down to complete the correction that we are looking for". STI did move down in according to our expectation, but it did not go down as low as we would like to see. Besides, it was amazing to see that STI remained so firm through the week, with the 3-month interbank rate shoot up to 2%. In addition, the plunge of Dow Jones on Thursday with a -235 points, had only caused a mere 12 points dropped on STI last Friday. These suggested to us that our market underline is still very strong. With these in mind, we have reviewed our stand, so instead of an "abc" fourth wave correction that we were expecting, it may turn out to be a triangle consolidation. If the prediction is true, then there is a good news and a bad news for you. The good news is, we may have seen the worst for STI in the short term, and that 1850 should hold well for the timebeing. But the bad news is, the consolidation may take a bit longer than what we expect, and that the next upmove may be ended at 2050-2150, fall short of our initial target of 2300. Unless there is a very big and unexpected event happened during Indonesia election, we believe the above scenario is highly possible, thought we may have jumped to the gun too early. But then, this is what the spirit of Elliott wave theory is all about. And what make our site unique to others, is that we tend to tell our readers well in advance the events that are going to happen and say something that many dare not commit in advance. By doing so, we hope our readers can benefit from it. However, because of the early prediction, some time we may be wrong, and that we are fully aware of it and prepare to accept our mistake as soon as we discover it, and always give in to the market without doubt. We hope that by doing so, readers will understand our position and find our way acceptable. Technically, STI has just completed its impulsive wave 3 and is now in the process of completing wave 4. It is now look highly possible that the alternate A scenario is more likely than the prefered count (please refer to my "Long Term Perspective" site), thought we would like to wait a little while before commit ourselves to it. The decision will probably be make within the next few weeks.Su
Events To Watch For The Coming Weeks/Month
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