Ford (F); Major 1 completed; looks like minor 5 of int.med. v of Major 1 was and Ending Diagonal (ED)?!?!

Been awhile since I traded F; I think I sold it at high 14s. Going back to the chart, and Ending Diagonal (ED) appears to have formed in the last wave.  This is common as EDs occurs primarily in the fifth wave position and are found in the termination of a larger pattern; indicating exhaustion of the larger movement. Dare we say Major 1 is a large pattern!?!?! EDs take a wedge shape within two converging lines, with each subwave, including waves 1, 3 and 5, subdividing into a “three,” which is otherwise a corrective wave phenomenon. IMHO all ingredients are available, price has already fallen below the lower wedge line; and don’t forget to take a look at the – div on the daily MACD… ouch….  First level to watch is ~$15.90, but I expect a retrace to $14.30s for Major 2, or for a solid bounce play. Break below $14.30 and $12.20s is on tap. Both levels coincide with a around 38.2% and 61.8% retrace, respectively.

FORD update 12092013

 

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