CBA

Has dropped off nicely from the 25th Nov 109.20 Top. Perhaps some of you may not follow CBA which is an Australian bank but I believe we could have a good trading opportunity this week to go long . I have made a close study of the Cycles on this stock which all made Low between the second to the third week of December before moving higher into the first week of January. If we continue to move down we could make Low on the 15th - 16th December then up till around January 3rd where Top is indicated. As we draw closer into the 15th Dec I will try to refine my calculations to determine one or two price levels and the specific date but at the moment we could be Low between the 15th - 16th Dec which is a time period of 19 days from the 25th Nov Top. Currently price is down around 4% which is in line with the 2017 decline of 4.3% however if we drop below this figure in the next few days the next two downside targets are 102.60 and below that 101.00 for a 7.5% decline which is line with the amplitude of previous swings. So if we make Low on the 15th December I will look at reversing my position and most likely purchase a 3 month ATM call with the intention of holding it up till around the 3rd Jan a period of around two weeks. We could be looking at an increase of 6% or possibly 8% into this date so if we do setup for Low in the next few sessions and pullback a bit further we could have a good long trade into the first week of January.

Have a nice Christmas and look forward to working full time on this project next year. Regards Grant