Sunday, May 06, 2012 - 11:37 Near Term - 1 to 2 weeks World Stock Index Near Term (246.30) Look for a test of the April lows at 244.91 / 244.77 and 2011 high at 244.62 (Wave Overlap), in a more direct fashion whilst the recently registered 'gap' down at 248.33 - 248.85 caps the near term upside. Pattern-Wise, it's interesting to note that the W.S.I. may have traced out a 'Head & Shoulders' topping pattern with the neckline / activation area currently located near the 243.25+- area (and declining slowly). Theory has it that a break of the neckline / activation area should usher in increased activity (ACTION / REACTION), which should be accompanied by an increase in volume / participation. The measuring objective, assuming a clean and sustained break of the neckline / activation point, is approximately 13.5+- points. Assuming a clean break, one can subtract 13.5 points from the top of the proposed Shoulder at 252.89 for a conservative target (-13.5 = 239.39) and or a more aggressive target of subtracting 13.5+- from the actual neckline at the 243.25+- area (243.25 - 13.5 = 229.75). As the Wave Principle is TAGs primary methodology (50%+- of TAGs Technical Toolbox), we'll be looking to count 5-waves down off the 252.89 high before looking for a pullback / consolidation.