Nifty took out the of 8580's, though we don't have any valid support on hourly till it reaches trendline
which is also Fib extension 2.0 if you draw fibs on Wave 1 and we do have fib extension 1.618 in the 8580's , so easily that can pass as Wave 3. Well, I don't wanna predict where exactly Nifty ends its wave 3. So what we are looking for ??
Scenario 1 : if the Blue trendline support is broken enter short ( I really expect Nifty won't break it just like that, so we will get pullback to 8570's zone before breaking the supportline - that's the pullback area we are waiting to enter shorts. Use very strict stops if this happens.
Scenario 2 : Can touch supportline and bounce back breaking upwards above redline, Enter longs in Nifty only after our 8570's zone is crossed. This will be safe entry according to Me, to initiate long positions.
Scenario 3 : If Nifty ends wave 3 around 8570's n bounces up, I won't be taking any positions bcos I'm unsure about the move till red upper trendline is taken out.
Final Scene : Well, who knows ? That's Nifty's Style,Boss !
Thanks for your Likes..Happy Trading !