View: Bearish in short term, Bullish in long term
This analysis will show how the Nifty 50 index unfolds into the Elliot Wave patterns. First, we try to understand the wave structure in the weekly timeframe. The first wave traversed from 279 to 6357.1 which, in turn, corrected to 2267.7, which is approx. 61.8% of wave 1.
The third wave was normal and completed at 12103.05 which is 161.8% of wave 1.
The correction of 3rd wave was expanded flat. Wave C of the 4th wave was swift and ended at 7511.1 which is approx 50% correction of wave 3.
If we look into the internal wave structure of the fifth wave, wave 3 was extended (416.8% of wave 1) and completed at 18604.45.
Wave 3 corrected as wave 4 by approx 38.2% in complex correction pattern W-X-Y-X-Z which seems to be completed at 15183.4.
Bounce from 15351.9 to 17992.2 may be expected as the part of wave 5 of primary wave structure. Within bounce from 15351.9, wave 1 may be completed from 15351.9-15927.45. It further corrected by approx 50% of wave 1 and completed wave 2 at 15511.05. Wave 4 of the extended wave 3 is expected to be in progress.
Decline from 17992.2 is expected to be a zigzag (5-3-5). It seems that wave A has been completed at 17345.2. 38.2% correction of wave A has been breached. The index may face resistance at 50% correction level of 17668.1 which may also be the reversal point making end of wave B. After that we may see the unfolding of wave C of the correction to 17178.7 level which is 38.2% correction of wave 3 of extended wave 3.
This analysis will show how the Nifty 50 index unfolds into the Elliot Wave patterns. First, we try to understand the wave structure in the weekly timeframe. The first wave traversed from 279 to 6357.1 which, in turn, corrected to 2267.7, which is approx. 61.8% of wave 1.
The third wave was normal and completed at 12103.05 which is 161.8% of wave 1.
The correction of 3rd wave was expanded flat. Wave C of the 4th wave was swift and ended at 7511.1 which is approx 50% correction of wave 3.
If we look into the internal wave structure of the fifth wave, wave 3 was extended (416.8% of wave 1) and completed at 18604.45.
Wave 3 corrected as wave 4 by approx 38.2% in complex correction pattern W-X-Y-X-Z which seems to be completed at 15183.4.
Bounce from 15351.9 to 17992.2 may be expected as the part of wave 5 of primary wave structure. Within bounce from 15351.9, wave 1 may be completed from 15351.9-15927.45. It further corrected by approx 50% of wave 1 and completed wave 2 at 15511.05. Wave 4 of the extended wave 3 is expected to be in progress.
Decline from 17992.2 is expected to be a zigzag (5-3-5). It seems that wave A has been completed at 17345.2. 38.2% correction of wave A has been breached. The index may face resistance at 50% correction level of 17668.1 which may also be the reversal point making end of wave B. After that we may see the unfolding of wave C of the correction to 17178.7 level which is 38.2% correction of wave 3 of extended wave 3.