GOGO: new preferred count hits all the right extensions, but…

GOGO is another of I.I.’s favorite, traded it so far successfully. I sold and re-bought this week. However, after reviewing the charts I’ve changed the preferred count, based on how price hit certain fib-extensions perfectly.

(click to enlarge)

GOGO update 08232014

  • Ideally a 3rd of a 3rd wave, in this case minute iii of minor 3 hits the 100% extension of minor 1. That we can clearly count as such in the new count.
  • Then, the 4th of a 3rd wave should, ideally, retest the 61.8% extension (a 38.2% retrace), finding support at the top of the 1st wave (resistance turns into support). Well, minute iv did exactly that.
  • Then the 3rd wave ideally extends to 138.2% or 161.8% of the first wave. Again, that count’s nicely as such (green minor 3). The 4th wave should then ideally drop to the 76.4% to 100% extension. In this case it dropped only to the 123.6% extension. Still a very normal 23.6% retrace; typical for a 4th wave.
  • The final 5th wave should then go to the 176.4% to 200.0% extension, depending on how far wave 3 went (138.2% or 161.8%, respectively). Again we see a 5th wave top exactly at the 200% extension because wave 3 went to the 161.8% extension. Also ideal.

IF that is the case, then we may have seen the intermediate i peak at $17.20! The following 3 wave correction was then intermediate ii. BUT…. that’s a very short and shallow intermediate ii… Hmmmm….  However, the count and fib extensions point that way. Also the ensuing big up day on Thursday suggest that could have been minute i, and Friday minute ii, which found support at the 50d SMA and which produced a (bullish) hammer candle stick on the daily chart.

My alternate count has it that Thursday’s peak was only minor 3, Friday’s low minor 4, and we’re now in minor 5. Namely, Thursday’s high would almost be the 261.8% extension of minor 1, which is not uncommon for a 3rd wave, and the 4th wave found support at around the 200% extension. Assuming 5=1, we then get to the 300% extension at ~$18.60.

We’ll see which count is correct…

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