BataIndia : Long term view with Visual Box E-Wave theory
As shown in Chart , which contain Five colored Box where each box represente One Implusive or Corrective wave . Box1 , Box3 and Box5 represent Implusive or Motive wave . Box2 and Box4 represent Corrective wave. As shown in Chart Impulsive Box1 was filled , Corrective Box2 was filled, Implusive Box3 was also filled, and Corrective Box4 is not filled fully and price are stillin trading range in corrective Box4. Implusive Box5 is fully empty, Once the price came out outof the Corrective Box4, we can anticipate Impulsive Box5 would be fill .
As shown in chart let represent Box1= wave1 , Box2= wave2 , Box3= wave3 , Box4=wave4 and Box5=wave5
Wave W1 and W3 are normal wave where Wave3 travel upto the distance of 161.8% of wave1 whcih is consider as a normal wave .
Note: MORE THEN 161.8% OF WAVE2 CONSIDERED AS A EXTENDED WAVE
As shown in BataIndia Chart , corrective wave2 was a simple correction , As a rule of Alteration say that if one corractive wave is simple then other corrective wave can be complex in nature.. therefore we can anticipate that price in Box4 is undergoing complex correction where time period for the end of correction of wave4 can not predicit in advance .
Once the wave4 correction is over or Box4 would fullly filled or Price would came out out of the Box4, then we can anticipate , Box5 will fill or next Implusive wave5 will start .
As a trader , one should wait for correction to get over or price should give beakout above 830 lvl, but as a convinced investor with long term horizon , one can average in the range of 700 to 800 for a long term target of Rs1100 . with proper money management rule
As per wave theroy , One of the Implusive Wave are subjected to extension, and as shown in chart Wave1 and wave3 are normal in nature , so we can anticipate Box5 or Implusive wave5 are due for extention. and might will extend.
Conculsion :
untill now from wave1 to wave4 of BataInda has respected various Fibbonachi ratio during the progrssion of wave e.g Wave2 retrace upton Fib. ratio 38.2% of wave1 , Wave3 travel upto the Fib.ratio 161.*% of wave1 which is considered as a normal wave, wave4 was corrected upto the Fib. ratio 61.8% of wave3.. there fore we can anticipate that BataInda would also respect this Fibbonachi ratio at various level during the remaing progesssion of wave in order to complete the 5 wave motive sequance
Trade Steup and Investment
For Trader , Long above 830 lvl with initial stoploss 4% of the invested equity on trade, with 1st Target
for Convinced investor can average inthe Box4 range 800 to 700 for long term target 1100 with time frame more then one year
Disclaim : the above Trading idea and investment rational are base on the wave theroy which is just guideline for anticipation of future prive move , which may or may not be achived depedn upon the trading environment.
