INTC, Intel

INTC jan 2012

This chart is from yesterday, prices today are slightly higher but the message is the same. This is an A-B-C countertrend correction. Ergo, some day we should make a new low, below $11.

The C leg looks like a rising wedge and , as of today, the C leg is vector equal to the A leg. These wedges occur exclusively  as waves 5 or as C waves as in this case. They are, in other words, ending patterns. Almost without exception the wedge is entirely retraced, but obviously it does not have to stop there. That would imply $17. We would sell at the open tomorrow.