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Rising Wedge

Bearish move - short Ether is currently trading in a well formed rising wedge. This is an indication of a bearish move and there are possibilities it may breach the bottom trend line (orange). If it breaches it then it will find support at fib level 0.618 (~$693). 2nd support could be found at fib level 0.5 (~$676). These support levels could be possible reversal zones for Eth (The zones are marked in Blue in the graph). So, watch out. Please feel free to revert with your feedback. Thank you!
BITSTAMP:ETHUSDShort
by rony.kris
GANN, ELLIOT and THE TOPPING PATTERNSI always love to trade such a chart but on 5 min. time frame :) Not possible ?? Yes, its possible.. but we will discuss on this topic later in some other post. CORRECTIONS and the ELLIOT COUNT: In this chart I can see three major correction. Each one having a different topping pattern. The first correction has a Rising Wedge; the second has Triple Top and the third one has Gramophone pattern at the top. The first correction eroded more than 61.8% of the last bull market. I consider this as the major correction. There was a nice base building near 2253 level, I call this as Base 1 or the end of Major corrective Wave 2. So Base 1 is now the Zero point of the Major Wave 3 strating @ 2253. The Second and third corrections (I-II and III-IV) were nearly 38.2% and 50% resp. of their last bull moves. I call these as intermediate corrections inside the Major Wave 3. I call end of Wave II as Base 2 @ 4531 and end of Wave IV as Base III at 6826 According to this count we are currently in Wave V of Major Wave 3. GANN: the Projection Factory Gann saw the price moves in 1/8's. According to him these areas can act as important S/R levels. I am using this hypothesis but in opposite direction, that is to project the price from the base. For convenience and on the basis of the Nifty harmonics I am marking only two of these levels -- the Quad and the Octave. The Quad level projection from Base 1 comes at 6204. Market made a Triple Top Pattern near 6338 and entered in to an intermediate bear phase which corrected more than 38.2% of the move from Base 1. Notice that this Quad also coincided with the top of last bull market. The Quad projection from Base 2 comes at 8926. The Gramophone pattern shown in the chart ended at 9119 followed by an intermediate bear phase which corrected 50% of the move from Base 2. Currently we are near the Octave end of the Base 1 at 10155. Which theoretically suggests that because a full Octave completes near this level, it should be followed by a "major" correction. I would like to assert here that so far there are two beautiful evidence of strong market vibrations near Quads, I don't have any evidence of market vibrations at the octaves on this daily chart. So the market reaction near current Base 1 Octave will only add to my experience. Due to aforementioned reason, I am left to rely upon the Elliot market structure and the price action. Both of them suggest that the next intermediate correction, set aside the major correction, on this chart may not be a possibility in the near term. However a short term correction may follow up to 9000 to 9100. Future Projections Gann projections from 6826 (Base 3) should give target for Elliot Wave V. Now you must be curious about the level..aren't you? Ok, the Level is 16000..Surprised? me too. But this level may take some years to get achieved. In between we may have corrections, which will look like minor/short term corrections on this chart but may erode 50% of their respective last short term up moves. Personal Views: On a personal note, I am not happy with Base 3. In Base 1 and 2 we had more than 61.8% correction from the top of automatic rallies from the Base points, which I may easily label as retest attempts. In Base 3, it corrected only 50% and base formation was very quick. These factors project the Gann target too high for Wave V. > I think a short term top is in the making > Short term correction may take the index to 9100 to 9000 > I would still stick to my July 18 post NIFTY ANALYSIS for Wave V projections. > Readers can have their own differing opinions, which I always respect. Hit Like/ Comment if you find this post useful. Trade safe, be healthy. Regards Bravetotrade
NSE:NIFTY
by Bravetotrade
31
B's shopping theory & Nifty !Let me ask this first, How many of you are frustrated bcos of almost no movement in Nifty ?! Almost we are stagnating within 100 point range from Oct 19th. Intra's will be having chances here n there but positional ones will be irritated to the core bcos of no movement & no trade setup emerging out of Nifty. B's Shopping Theory : Am not sure about the exact date, but before Dussehra itself( from Oct 1st week I guess ), I told Nifty will be directionless till Diwali bcos Bull & Bear ( B's) need some relaxation time & want to celebrate Diwali. B's are out on shopping so whatever the move happens is not the decider of overall path in coming days, its just movement by retail traders expecting up or down ( just My opinion). To prove the B's shopping theory, Nifty is reflecting the same forming Ascending broadening wedge (ABW) pattern. {LHS} This Ascending broadening wedge (ABW) pattern forms when markets are bit directionless & patterns right end are open to the max range, so Nifty can oscillate between them without moving in any direction, so Nifty was moving within that pattern without proper direction & range is also wide enough, so its good for Intraday traders.In contrast consider some triangle pattern with narrow close on the right end, it needs to give a breakout sooner when it reaches the end but this broadening wedges can take their own sweet celebration time & confuses us.{RHS} Therefore L.H.S = R.H.S, Hence the theorem is proved :) Regarding Mistry sacking Mystery's, there are lot of bad decisions / conflict of interest involved so the Tata group did what's right & Best to protect their Ethics, This is Best for Tata's future. If I go indepth about all the aspects it will take another huge post to explain what went Behind the scenes, so lets close Mistry topic with firstline of this para probably on some relaxed day I will explain those. And the Tata's won't give direction for Nifty I believe ( it will be temporary) but let's see. Getting back to Nifty, The Best way is being intraday trader that doesn't mean positional's won't get chances. Its just my opinion that positional traders will get chance after Diwali. By the way don't get annoyed that I didn't give any direction or trade setup, bcos there is no real directional chance I see here, so relax guys...take some time off away from monitors... We are not gonna make millions within 15 days, thats why told to take some rest from markets.( Bulls & Bears ) B's are out on shopping, so trade intra or better relax & take vacation till Diwali... Let the B's Shopping Theory Work :)
NSE:NIFTY
by InsiderB
2