Support Levels, page-564

I have been doing some detailed study on the Elliott Wave count & after changing the bars to weekly instead of daily, I have been able to make some sense of what appeared to be a failed count.

Take the beginning with the low of $0.02 on 28th June 2013, then comes the 28th July price of $0.65 as the top of wave 1. We then hit $0.36 several times trying to form a wave 2 low before rising to the 28th April 2016 price of $1.40 as the top of wave 3 then an ABC wave structure to a 4th wave bottom of $1.67 on 23rd May 2016. We then have a five wave count in the 5th to $2.99.

The above at least conforms to Elliott's wave rules.

This means that from $0.02 to $2.99 we have a $2.97 completed 5 wave movement. This 5 wave movement should then become wave 1 in a higher or larger degree so we should be now looking for the correction to form the bottom of wave 2 in this higher degree.

The most common retracement of wave 1 is 61.8%. This means a 61.8% retracement of $2.97 is $1.835 & deducted from the top of $2.99 equals $1.155.

Consequently, if the SMN share price falls to the $1.15 area then there should be substantial support as this is technically an extremely good support area. In fact any purchases made around current prices should prove to be very profitable in the longer term.

I have placed a top up order accordingly. My current average purchase price is $0.313 so my current buying order is well above my average.