NIFTY PSU BANK INDEX ELLIOTT WAVE ANALYSISNSE:CNXPSUBANK Multi Year Breakout and Retest.
Looking ready to resume the Rally in a 3rd Wave of Bull Market.
Niftypsubankindex
NIFTYPSUBANK Exhibiting Inverted Head & ShouldersNIFTYPSUBANK Index is exhibiting inverted Head and Shoulders pattern on the weekly chart, with the price just about touching the neckline of the pattern. A measured move target would mean price going toward old time support/resistance line of 4000 on the index. We are bullish on the Nifty PSU Bank index with the price target as mentioned.
#bullish on PSU Bank SegmentSince the NiftyPSU is on an uptrend, looking at the waves indicates that it will be a smart buying as wave 5 has just begun.
Below are expected resistance levels
1st Resistance level at 2497
2nd Resistance level at 2667
3rd Resistance level at 2741 (Breakout level)
It can provide a target of 3067.
New Relative Lows In Nifty PSU BanksIn addition to Nifty PSU Banks breaking down to new all-time lows on an absolute basis, we're also seeing new all-time lows relative to the Nifty 100. This trend of underperformance has accelerated and unlikely to continue this steep pace for the long-term, but there's no reason to be looking for a reversal just yet. We’re not here to catch falling knives or be right about calling a top or bottom, we’re here to make money. And we do that by riding the strongest trends as long as they’re intact, which in this case it most certainly is.
Further Downside Ahead For NIFTY PSU BanksHere’s the leader of the weakest stocks, Nifty PSU Banks, breaking down to new all-time lows on an absolute basis. When bullish momentum divergences fail to spark any sort of upside traction, that shows that sellers are remaining aggressive even at lower prices and that the downtrend remains firmly intact. If prices are below their recent lows of 1,220 then we’re looking for further downside towards 1,025. We’re not here to catch falling knives or be right about calling a top or bottom, we’re here to make money. And we do that by riding the strongest trends as long as they’re intact, which in this case it most certainly is.
ALBK SELL at 43.90 SL at 46.90 T1 at 40.5 T2 at 35.45ALBK is bearish engulfing and with higher than usual volumes. and Fresh Short positions initiated. SELL Alahabad Bank (ALBK) at 43.90 with Stop-loss on closing basis above 46.90 and Target 1 at 40.5 and Target 2 at 35.45
IDBI: Buy@74.4 SL@72.25 T1@76.6 T2@78.7 T3@80.90IDBI surged in trade today with PSU Banks re-bouncing, IDBI seems to be a better option. 5.4% today on NSE with close to 3.5 times its average volumes which signifies returning interest in IDBI. Well above Ichimoku IDBI stands on my BUY list in CASH Market only above 74.4 with Stop Loss of 72.25 and Target 1 of 76.50, Target 2 of 78.70 and Target 3 of 80.90
Please do consult your financial consultant before taking any calls from my end.
