MPEL has been in a correction since November 2, 2010, when it traded to 7.20 in pre-market. This was a price target projection based off the 3.26 low on 12/31/09.
A chart of MPEL at that moment showed large volume on this day and the possibility of a wave 5 having been completed.
Using the 3.26 price zero low for wave 1 of this time frame and the projected 7.20 wave 5 high, a simple ABC correction wave A price target is 5.69. Today MPEL has so far traded to a low of 5.55 and bounced to 5.68, now testing that low.
If this is the end of an A wave look for fibonacci retracement levels to possibly support a rebound in MPEL between 6.35 and 6.56. Longer term MPEL could still retrace lower towards C wave targets between 4.73 and 4.35.
