Concept of Polarity Reversal is very common & should be used by investors. This weekly chart of United Spirits topped in the zone 2100-2200 in year 2007-2008 & acted as also in year 2011-2012 start- The same zone in Aug -Sep2016 acting as good support where demand is coming for the stock. So, The zone which acts as turns its role into the or vice-versa is known as Polarity Reversal Zone.
Since 2009 lows of 426- It has started moving in an impulsive manner & likely completed 4th wave or could be A-leg in 4th wave, but in both the cases we are making a case & shall be looking for a good sizeable rally once 2600 is crossed- which is a key level for me.
Abhishek H. Singh, CMT