National Industries Group Kuwait Outlook 17 Dec 2009

NIG 17 Dec 2009National Industries Group stock has come down a lot in the last several months. But we can decipher a clear five wave movement having been completed at the lows. The first leg of a 3-wave correction has already been completed, and the second leg is probably already over, or very near completion. Thus, I am recommending being on the alert to buy this stock for a move back to 830 area. Additional comments are on the chart.


  • Bufahad

    hello ramki, For NIG, your saying its just 5 wave down corection than back to motive waves? i thought it should be A-B-C, we finished A at 210, finished B at around 500, and now in C, should ATLEAST go back to the bottom if not more.

    • Bufahad,
      You are absolutely right. If one has labelled the selloff to early 2009 as a 5-waver, the correction should be a 3-wave affair (ideally labeled a/b/c). I have labeled it as 1/2/? for the present because we don’t know how this correction will shape up. The key point is the next big move will be UP, either as a 3rd wave within a zigzag, or as a C wave. The objective should be near the prior 4th wave, around 600 as a first step. I am sure you will agree that if we catch that move we would have played the markets correctly! Thanks for your post.

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