So far we are seeing corrective price action unfolding in nifty in the form of double zigzag pattern(WXY).
we are done with wave W and wave X,and wave y move started on 29th march when index crossed 17300 on the upside.Of this wave y we are seeing wave A achieving it's 61.8% extention target at 18054 and taking pause there after, suggesting wave B has started.This wave B can retrace wave A by 61% which is coming at 17660,but it's a guideline and not elliot's zigzag pattern rule.
Ideally one should wait for retracement for getting long in index,as we are nearing 55 day time cycle topping zone(8th april-10th april).One should avoid shorting at this moment because we still havent got a bearish hourly candle which has closed below it's previous candle low.
For upside move one should wait for hourly close above 18100.
Disclaimer:This are just my personal views sharing it for my future reference,no position should be initiated on its basis
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NIFTY HAS REACHED NEAR IT'S WAVE A 50% RETRACEMENT LEVEL OF 17660.ON THE DOWNSIDE WE HAVE GOOD OI BUILD UP AT 17500 ON THE CALL SIDE AND 61.% RETRACEMENT OF WAVE A AT 17550.HENCE LOOK FOR BULLISH REVERSAL CANDLE ON HOURLY CHART BETWEEN 17550-17660 ZONE.IF WE GET BULLISH REVERSAL CANDLE AT MENTIONED SUPPORT LEVEL THEN GO LONG WITH A STOP-LOSS OF 17470 ON THE DOWN SIDE HOURLY CLOSING BASIS AND ON THE UPSIDE TARGET WOOULD BE 18000
Trade active
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we have a hourly candle close above it's previous candle high on the hourly candle that finished at 12.15 pm.long trade active at 17720 sl wud be 17600 and tgt wud be 18000
Can wave C could complete near 18115? Or below 18351 level only?
UNDERDOG-29
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@raajhans, Depends upom where wave B ends.Point is not where it will end,for it to end we first need wave B to end suggested by price action.Elliot wave should be used for recognizing maturity of the trend.Will update my views if i see signs of wave B ending
raajhans
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@UNDERDOG-29, Ok Thank you sir.... looks like we completed wave B today as we got faster retrace on upside....maybe!
ckirtane
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you are not sure whether wave A is completed at 18119?
UNDERDOG-29
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@ckirtane, yes i was not,when i posted this at around 1:15 pm yesterday,but yesterday itself by the time of close we had an hourly candle closing below it's prior candles low suggesting end of wave A in wave Y,still i wud say to buy around 17560-17660 levels.Shorting is difficult task and off late Indian market is ignoring bad news