# Will bull traders drive Apollotyer above Rs.300?

Long
Updated
NSE:APOLLOTYRE   APOLLO TYRES
Preface

APOLLOTYER is preparing for a bull run. After completion of the 3rd wave at 261.2. Price had started a corrective wave ((4)) and took 38 weeks to finish this structure.

Wave Formations and Fibonacci relationships:
Wave ((1))is an impulse with a 5-3-5-3-5 wave structure.

Wave ((2)) is a zigzag move. Fibonacci retracement of wave 2 is 50% of 1st impulsive wave at 109.55. Sub-wave of wave 2 fulfilled the rule of equality (wave A= wave C)
Wave ((2)) is not exceeding the starting point of wave 1.

Wave ((3)) is an extensive impulse. 3rd wave has 261.8% retracement of 1st impulsive at 261.

Wave ((4)) is a triple three with a 3-3-3-3-3 wave structure.
It retraced 38.2% of the 3rd wave and did not overlap the starting point of wave 1.

What will happen next?

Completion of sub-wave z indicates that the corrective wave has ended. Price has started forming sub-waves of wave 5.
The sub-wave z of wave ((4)) has formed a descending channel.
If the price breaks descending channel and close above sub-wave ((b)) at 237, it will confirm the impulsive behavior.

(Note that the ending point of the corrective wave is the starting point of an impulsive wave.)
A trader can expect the following targets:237-250-279-297+

Target 1: 237

Target 2: 250

Target 3: 279

Target 4: 297+

The safe traders can wait for the breakout of wave X.
If the price fails to break the wave X, correction is about to make a new leg down.
They can enter on the pullback to enter where they can manage risk with tight stop loss.

Invalidation: pullback can't break the low of wave ((4))
Comment:
Price failed to break the parallel channel.
It will make a new leg.
Position can only initiate after the breakout of the channel.
Comment:
I will Update this setup soon.
Comment: