# NTPC forming Elliot wave theory

NSE:NTPC   NTPC LTD
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Looking at first glance, I can find that 1-2-3-4 Waves have been made and 5th is running. While The secondary waves has also been seen till yet. Expecting prices to trade higher till 5th wave near 92-93 and We can see primary corrective trend A-B-C till 80 or levels.

Correction

In Elliottwave theory . If the motive wave is an impulse wave 4 cannot overlap the price territory of wave 1 , it can only happen if the motive wave is a diagonal. Even then 1 > 3 > 5 if it is a contracting diagonal.
This is most probably a-b-c-x-a-b-c . Note a and c will be five wave moves .
AJAYSHARMA
@AJAYSHARMA, Yes i Agree, I know its not perfect because its contains 7 layers in normal scenario. Finding perfect one is the most difficult study in Technical. The person knows Elliot wave can easily say that its only two wave and that also not perfect. What about other minor 5 waves in each wave? So, Its not perfect i know.
pratiktech
@pratiktech, T hink NTPC is going through a double zig zag structure . It is abc-x-abc . We are at present in second b . Zig zag is a corrective structure , a structure that moves against the trend at one higher degree . Hence after it is over the main trend will take over . The main trend in NTPC is down this zig zag is merely correcting that trend . in the last wave c end the stock will be higher . But after it will go down.

In zig ABC srtucture wave A can be a five wave impluse or a diagonal . Wave C can be a complex structure but in this case it is also a zig zag . Only way we can differentiate between a new impluse and a corrective wave is that wave 4 of an impulse never end in the price territory of wave 1 . In a double zig zag it does end that way .

So this structure will go higher like this 1-2-3-4-5(A) - a-b-c (B) - 1-2-3-4- 5 (C) , So you will be able to see the five waves as A'a and C's will be fives .