Forming Subwave iv
As expected, Subwave iii (red) has topped and Subwave iv is forming. It could have ended today, but it is uncertain. After Subwave iv ends, Subwave v will form, rising up. It would be wise to wait until the STI has risen well above the top of Subwave iii (at 3456.09) before considering to pick up some stocks. This strategy applies to any specific stock which is going through a fourth wave.
Students of the Elliott Wave Principle may note that Subwave ii went sideways while Subwave iv has a sharp decline. This is called alternation of the second and fourth waves. It is more frequent that the second wave has a sharp decline while the fourth wave moves sideways, but the reverse can happen. This is not an EWP rule, but it is a frequent occurence.