wxy,second correction y.use wave B bounce to exit long.
After momentum divergence and 2-4 trend line breach bank nifty trend has been side ways to downside.
so far it looks like bank nifty is making double correction WXY, of which wave W and X is done and Wave y sub-wave A is done and Wave y sub wave B is going on,which should be used to exit long's previously hold.
Now where this wave B will end cannot be predicted,but if current bounce manages to clear 61.8% retracement of wave A(one candle close above the level) than we can ascertain a this correction to be a Flat one.From there on depending upon the higher retracement levels sub-form of Flat can be derived.
In either case of Flat or Zigzag one should avoid longs and if previously holded then it should be liquidated as wave C decline can take prices to wave A low and even break it.
so far it looks like bank nifty is making double correction WXY, of which wave W and X is done and Wave y sub-wave A is done and Wave y sub wave B is going on,which should be used to exit long's previously hold.
Now where this wave B will end cannot be predicted,but if current bounce manages to clear 61.8% retracement of wave A(one candle close above the level) than we can ascertain a this correction to be a Flat one.From there on depending upon the higher retracement levels sub-form of Flat can be derived.
In either case of Flat or Zigzag one should avoid longs and if previously holded then it should be liquidated as wave C decline can take prices to wave A low and even break it.