#Nifty directions and level for July 26th.
Good morning, friends! 🌺🍬 Here are the market directions for July 26th:
The global market has a bearish sentiment (based on the Dow Jones). Our local market has a structurally moderately bearish sentiment. Today, the market may open with a neutral to slightly gap-up start, as indicated by the GIFT Nifty, which shows +40 points at 8.00 am.
**Nifty:**
In the previous session, Nifty closed with a pullback, and today it may continue this trend because GIFT Nifty indicates that. However, if you look at the wave count, every swing has a three-wave count. There are many variations with three-wave structures, but here we can take these two variations for simplicity:
1. **Diagonal Variation:**
- In this variation, it shouldn't close the candle above the level of 24,473. If it happens, we can expect a correction.
- This means if the market initially declines sharply or, after the gap-up, if it rejects around the level of 24,473, then it may turn into a correction.
- However, confirmation is expected from the 38% Fibonacci level breakout in the minor swing. If this happens, we can expect a minimum of 50%, 78%, and 24,175.
- If it doesn't break this level, it will continue the moderately bullish sentiment. This is our current variation.
2. **Pullback Continuation:**
- In this variation, we could complete the correction to the first three swings from the start of the correction. So, if the gap-up sustains above the level of 24,473, then we can expect pullback continuation with some consolidations. The targets are a minimum of 24,588 to 24,635. This is our alternate variation.
The global market has a bearish sentiment (based on the Dow Jones). Our local market has a structurally moderately bearish sentiment. Today, the market may open with a neutral to slightly gap-up start, as indicated by the GIFT Nifty, which shows +40 points at 8.00 am.
**Nifty:**
In the previous session, Nifty closed with a pullback, and today it may continue this trend because GIFT Nifty indicates that. However, if you look at the wave count, every swing has a three-wave count. There are many variations with three-wave structures, but here we can take these two variations for simplicity:
1. **Diagonal Variation:**
- In this variation, it shouldn't close the candle above the level of 24,473. If it happens, we can expect a correction.
- This means if the market initially declines sharply or, after the gap-up, if it rejects around the level of 24,473, then it may turn into a correction.
- However, confirmation is expected from the 38% Fibonacci level breakout in the minor swing. If this happens, we can expect a minimum of 50%, 78%, and 24,175.
- If it doesn't break this level, it will continue the moderately bullish sentiment. This is our current variation.
2. **Pullback Continuation:**
- In this variation, we could complete the correction to the first three swings from the start of the correction. So, if the gap-up sustains above the level of 24,473, then we can expect pullback continuation with some consolidations. The targets are a minimum of 24,588 to 24,635. This is our alternate variation.
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