QPM Chart, page-2731

What an amazing year for QPM. So many boxes ticked and we're only just starting to get things started..



Looking at the weekly chart it looks to me like wave 2 has finished up with a double bottom at 16. We should see confirmation in the coming week(s). That will put us into wave 3 which will be a lot of fun. A lot of news flow expected in the next few months and with that the fundamentals could be realised. Prices can move very quickly at this point. Wave 2 typically retraces to the .5/.618 although it makes sense for it to not develop further past .5 as the fundamentals are generally viewed as very positive.

Zooming in on the daily chart we also seem to have broken out of the downward channel.


Leave you with a little reading on Elliot Wave Theory.
Wave 2: In Elliott Wave Theory, wave two corrects wave one, but can never extend beyond the starting point of wave one. Typically, the news is still bad. As prices retest the prior low, bearish sentiment quickly builds, and "the crowd" haughtily reminds all that the bear market is still deeply ensconced. Still, some positive signs appear for those who are looking: volume should be lower during wave two than during wave one, prices usually do not retrace more than 61.8% of the wave one gains, and prices should fall in a three wave pattern.

Wave 3: In Elliott Wave Theory, wave three is usually the largest and most powerful wave in a trend (although some research suggests that in commodity markets, wave five is the largest). The news is now positive and fundamental analysts start to raise earnings estimates. Prices rise quickly, corrections are short-lived and shallow. Anyone looking to "get in on a pullback" will likely miss the boat. As wave three starts, the news is probably still bearish, and most market players remain negative; but by wave three’s midpoint, "the crowd" will often join the new bullish trend. Wave three often extends wave one by a ratio of 1.618:1
Wave 3 rally picks up steam and takes the top of Wave 1. As soon as the Wave 1 high is exceeded, the stops are taken out. Depending on the number of stops, gaps are left open. Gaps are a good indication of a Wave 3 in progress. After taking the stops out, the Wave 3 rally has caught the attention of traders.


Don't get left behind people.. Happy New Year