Subwave v Rising
It appears that Subwave iv (brown) did indeed end last week and Subwave v (brown) is forming. There is still a probability that Subwave iv did not end and could drag on sideways to form a triangle. If the uptrend that we are seeing now is Subwave v, we can anticipate that the STI will top at about 3360 around 14 May. This is based on the observation that a fifth wave (Subwave v) is frequently about the same length and duration as the first wave (Subwave i). This is a guideline and not a rule in the Elliott Wave Principle.
The end of Subwave v (brown) is the end of Wave 3 (red). Wave 4 (red) will then follow. Another guideline is alternation between the second and fourth waves. Since Wave 2 (red) went sideways, Wave 4 (red) is likely to fall sharply, most probably to about 3145 which is the end of Subwave iv (brown). The alternation guideline states that a second wave and a fourth wave will likely alternate between a sharp fall and a sideways correction. That’s looking rather far ahead. First let us see whether the STI will go up to 3360 by mid-May.