Asia 'top' shows market rally is at an end

SINGAPORE: Asian stocks may decline for months after forming a "top" that signals the end of a 10-month rally, according to Elliott Wave International Inc.

Benchmark indexes across the region have completed either three- or five-wave patterns showing that their gains are over, the researcher said in its February Asian-Pacific Financial Forecast report.

The rally's duration and the divergence in both momentum and sentiment also signal a downturn, it said.