Facebook began its uptrend in the middle of 2012 and started to accelerate in wave 3 in mid 2013. The upward movement is almost completed as wave 3 has become more extended than usual, estimated 3.618 of wave 1. As wave 3 progresses, volume is decreasing, signalizing for a coming correction in the face of wave 4. The correction for wave 4 is expected to find support in wave ‘iv’ of smaller degree or 38.2% Fibonacci level of wave 3.
After completing wave 4 in a form of a triangle, flat (following the guideline of alternation), one last leg in the face of wave 5 is left to complete the five wave structure of wave (3). Than the 4-5 series should continue with waves (4) and (5) to complete the five wave structure of the whole impulse. Why 5 waves? Check Elliott Wave Patterns to find out! If this is the correct count, Facebook could reach 80 dollars per share, before reversing for a larger degree correction.
