BMN Long EWT

BMN Long EWT


BUSHVELD MINERALS            

BMN             trading near all time highs

• Both Wave 3 and Wave iii             are in motion

• Momentum studies positive

Currently trading near all time highs, Bushveld Minerals ( BMN             ) still has room to continue higher. A rally begun with a gap after a year long consolidation period. With a high at 24.50 reached in May, BMN             saw a correction back to the 17.10 level – finding support. The Elliott Wave 1 subdivided into a Minute impulse wave. Wave iv retraced 38.2% of the Wave iii             advance, stalling inline with the 17.10 support level . Wave iii             and Wave v tops saw bearish divergence, warning that a corrective phase was near. Wace C saw bullish divergence , again, giving a potential warning that the correction is over, and a new impulse move was about to occur.

More recently however, BMN             has had a solid advance, breaking above a psychological level of 20.00, and breaking above the May high of 24.50. It has given back some of its gains however, retracing and holding the 21.70 level. This has formed a new wave i and ii count equalling Wave 3 of higher degree.

With BMN             just hovering below 27.00 it has much more room to rally as it is in Wave 3 of both degrees. Though not always the longest wave, it has potential to move to 32.00. This level is the point at which Wave 1 = Wave 3. The RSI favours the bullish picture and reinforces the potential for a move higher. A possible retracement to the uptrend line is also possible and would be a great opportunity to go Long. Longs can also be entered at the break above 27.00 if a more conservative approach is preffered.