#BANKNIFTY completes an ending diagonal and can head south

Banknifty's upmove from mid Jul (from ~ 32400) has been impulsive - either a wave 1 of a new bull market or wave C of X of an ongoing correction ( heading to 30000-32000 region)

Whichever the case, the immediate direction is down if todays high of 40753 is intact.

The ending diagonal is clear and should soon resolve to the downside. Expect an initial target move into the 38420 area. The structure of this downmove should indicate to us the next course of action. For now - look for new lows if today's high holds.

Nifty should follow same direction

Michael @ SolomonsView

Twitter - @SolomonsView

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