I wonder if price will now correct downward significantly. Recently, before the level exceeded the August 2009 peak, the analysts at EWI were quite reasonably looking at Shanghai as developing a wave IV as a triangle, seeing the present rise as a "d" wave. However, as this rise has since March exceeded the limits of the proposed triangle boundary lines, an alternate view needs to be taken.
Therefore, for now, I am staying with the idea that the index is within a wave IV, although I now suspect that the whole up-down-up action from the low in 2008 has been a protracted "b" wave having an internal ABC structure -- of which the internal "C" segment might have just completed at the 61.8% level of wave "a" mentioned above. It is interesting to also note that the "b" wave's "A" segment was just about 38.2% of the wave "a". Also, at this level, the "C" segment is hitting the area which corresponds to between 1.382 and 1.618 the length of the "A" segment.
If that is the case, I suspect that a triangle may still be developing but over a longer period, perhaps with each successive wave to unfold at a (perhaps .618) of previous waves.