In the last review (21st Oct) I had argued in favor of "Bullish reversal" at least in the short to medium term, in the World index, based on a)Possible halt in the furious fall at fib 0.618 retracement of entire bull run (2003-2007) b) Importance of October time cycle in economic cycles. See the inlaid monthly "close" chart, the month of "October" has ended almost exactly on 0.618 fib level, thereby making an attempt to halt the unprecedented fall in the global markets, at least in near term.
Further, I had also illustrated 3 downward parallel channels on the weekly chart in the previous review. As anticipated the lower end of the 3rd channel (Blue) has successfully supported the fall, causing recovery across the global markets.
Now expect a continuation in the "recovery efforts" , in the next 4-7 weeks, or may be till the year end, provided the index "pierce" the "important" hindrance of the "upper end' of the 3rd (blue) parallel channel.
