IBM Corp.: wave analysis

The price may grow.

On the daily chart, a downward correction developed as the fourth wave of the higher level 4, and the formation of the wave 5 started, within which the wave 1 of (1) of 5 develops. Now, a local correction has ended as the second wave of the lower level ii of 1, and the wave iii of 1 is developing, within which the wave (ii) of iii has formed. If the assumption is correct, the price will grow to the levels of 145.11–157.75. In this scenario, critical stop loss level is 114.88.

Main scenario

Long positions will become relevant during the correction, above the level of 114.88 with the targets at 145.11–157.75. Implementation period: 7 days and more.

Alternative scenario

The breakdown and the consolidation of the price below the level of 114.88 will let the price go down to the levels of 105.40–90.54.