"NAB: where is my Wave 4 retracement ?"

Back on the 20th April, National Australia Bank reached its wave 3 high, and since then we have been waiting for the confirmation of the Wave 4 retracement.

In the chart below for 29th April, we can see that driven by the Greek sovereign downgrading to Junk Bond status, the 230 point drop in the DOW, the US Fed keeping rates on hold, a plunge in the EURO and Athens activating the country line of credit sooner than expected, you would have expected the Wave 4 to kick in with a vengeance.

But alas no - it seems that the 25% retracement level of $27.88 is a real stumbling block and NAB seems very resistant to dropping below this point.

However price has dropped out of the regression channel and we have strong drops in the stochastic & MACD with sell signals in the CCI.

We wait in hope for a confirmation soon - at least before our May PUT options degrade too far !

Cheers