NIFTY - COMPRESSION PHASE
When the price is at an all-time high, the best way to gauge the trend's strength is to observe its reaction to its previous range. Large and impulsive expansion stages indicate a strong trend.
However, when examining the NIFTY chart on the daily timeframe, the price consistently revisits the extreme discount pricing of its previous range, immediately after breaking the high.
This pattern signals weakness and suggests a potential free fall towards 20,700. Price can make one more ATH before the fall.
Additionally, the election results scheduled for June 4, 2024, could serve as the trigger for this anticipated decline.
However, when examining the NIFTY chart on the daily timeframe, the price consistently revisits the extreme discount pricing of its previous range, immediately after breaking the high.
This pattern signals weakness and suggests a potential free fall towards 20,700. Price can make one more ATH before the fall.
Additionally, the election results scheduled for June 4, 2024, could serve as the trigger for this anticipated decline.
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