Nifty 50 IndexLong
Nifty View (Long Term Trend)
Updated
Good Evening!
I was looking at the chart today. I have studied Elliot waves and Harmonic patterns. While analysing the chart, i concluded that we are in long bull run and this is a time bound correction.
Elliot wave analysis:
1. This is a Corrective Combination which started in Oct 2021. First Leg was a "Flat Structure" and after completion of "X", market completed a ZigZag yesterday i.e. 19 June. (for Ref: Please look at page no 30 in AJ Frost and Robert Prechter Book of Elliot Wave Principle)
There could be some exceptions in forming first leg of Flat structure and third leg of flat structure, but overall it seems to be a flat structure plus a zigzag. It may emerge something different after a month but we have to live with something in present so:
2. I am saying yesterday because
A. Yesterday market made a Doji (which could be reversing pattern in candlestick)
B. We are very near to the support line.
3. If we look at it another way, then this type of Double Combination gives a look of "Flag". This type of typical flag if broken upside could tear apart Bears for long run.
Apart, If we bounce from yesterday low then it could be a start of new impulse wave upwards which could only be confirmed when we break out above life time high.
Till then we will only assume that another "X" is in formation and Market may seek more time to correct itself.
P.S. Above is my opinion and it may change as the market will emerge in future. I am not a future teller but all we can do is "Predict".
I was looking at the chart today. I have studied Elliot waves and Harmonic patterns. While analysing the chart, i concluded that we are in long bull run and this is a time bound correction.
Elliot wave analysis:
1. This is a Corrective Combination which started in Oct 2021. First Leg was a "Flat Structure" and after completion of "X", market completed a ZigZag yesterday i.e. 19 June. (for Ref: Please look at page no 30 in AJ Frost and Robert Prechter Book of Elliot Wave Principle)
There could be some exceptions in forming first leg of Flat structure and third leg of flat structure, but overall it seems to be a flat structure plus a zigzag. It may emerge something different after a month but we have to live with something in present so:
2. I am saying yesterday because
A. Yesterday market made a Doji (which could be reversing pattern in candlestick)
B. We are very near to the support line.
3. If we look at it another way, then this type of Double Combination gives a look of "Flag". This type of typical flag if broken upside could tear apart Bears for long run.
Apart, If we bounce from yesterday low then it could be a start of new impulse wave upwards which could only be confirmed when we break out above life time high.
Till then we will only assume that another "X" is in formation and Market may seek more time to correct itself.
P.S. Above is my opinion and it may change as the market will emerge in future. I am not a future teller but all we can do is "Predict".
Note
Since October 2021, Upmove after bottom or ending of first, third wave are very fast. Downward moves are very slow compared to up move. If you guys have to check it you guys can count the number of days in each leg of structure. So i believe when the up move will continue, it will take less time then all of the last leg move days.
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