Nifty has been on an excellent bull run with good pullbacks and retracements for well over an year now.
Today , Nifty reclaimed 20000 mark once again and the real question is what will happen next?
In this educational article, lets decipher what is likely to happen in the month of December.
Analysis using Fibonacci Retracement:
Here is a snapshot of Nifty and we can see a great rally from March 27th to 18th September with no major retracements except few pullbacks here and there. However, Nifty underwent a good 38.2% retracement and bounced back to 20000 mark indicating that it is ready for next higher moves!
Retracement Gap Pending at TOP:
When the retracement move happened on 18th September, we can see a massive gap down occurred at the top. And this gap can be expected to fill first. The gap will be filled only when the Nifty touches 20142 and here is the screenshot
Reversal Gap Pending at Bottom:
Today as market opened straight above 19960 and there is a gap formed from previous close which will be a critical retest zone. A reversal gap will be completed only when it touches 19898.
Fibonacci Extension Targets Upside:
Positional analysis from march to September retracements suggests that Nify on higher side is likely to reach 20092(done), 20473, and 20855
Fibonacci Extension Targets Downside:
Positional analysis from march to September retracements suggests that Nify on Downside is likely to reach 19587, 19432 and 19277
20473 or 19432 -My Outlook:
This is only for educational purpose and sharing my outlook for learning purpose only. I am bullish for the following reasons
1. Retracement is done
2. Gap filling at top is pending which will attract since there is momentum, market will likely use it to fill the gap
3. A small gap at 19898 may pull Nifty to that level but positionally should continue making newer highs
4. A good retracement, consolidation and trading at peak entering into bullish December is a good sign for extended bullish run
Verdict:
20473 on cards for Decemeber and who knows we may see 21K for New year 2024!
Today , Nifty reclaimed 20000 mark once again and the real question is what will happen next?
In this educational article, lets decipher what is likely to happen in the month of December.
Analysis using Fibonacci Retracement:
Here is a snapshot of Nifty and we can see a great rally from March 27th to 18th September with no major retracements except few pullbacks here and there. However, Nifty underwent a good 38.2% retracement and bounced back to 20000 mark indicating that it is ready for next higher moves!
Retracement Gap Pending at TOP:
When the retracement move happened on 18th September, we can see a massive gap down occurred at the top. And this gap can be expected to fill first. The gap will be filled only when the Nifty touches 20142 and here is the screenshot
Reversal Gap Pending at Bottom:
Today as market opened straight above 19960 and there is a gap formed from previous close which will be a critical retest zone. A reversal gap will be completed only when it touches 19898.
Fibonacci Extension Targets Upside:
Positional analysis from march to September retracements suggests that Nify on higher side is likely to reach 20092(done), 20473, and 20855
Fibonacci Extension Targets Downside:
Positional analysis from march to September retracements suggests that Nify on Downside is likely to reach 19587, 19432 and 19277
20473 or 19432 -My Outlook:
This is only for educational purpose and sharing my outlook for learning purpose only. I am bullish for the following reasons
1. Retracement is done
2. Gap filling at top is pending which will attract since there is momentum, market will likely use it to fill the gap
3. A small gap at 19898 may pull Nifty to that level but positionally should continue making newer highs
4. A good retracement, consolidation and trading at peak entering into bullish December is a good sign for extended bullish run
Verdict:
20473 on cards for Decemeber and who knows we may see 21K for New year 2024!
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