From the last update- 40600 was the key level which halted the up move exactly & same level acted as resistance in opening session when index opened gap down.
It travelled upside to 40605 close to 40600 resistance & dropped sharply down to 40378 -which is our critical level for upcoming sessions.
Index has been choppy since the bottoms of 40280 & the waves looks...
Extreme Risk Takers Can Trade till Index holds below 40600. In other words selling should be avoided if Index rallies back above 40600 (Avoid Sell above 40600)
Our Downside Targets
40450
40185
39880
Hope you liked the last idea -Island Reversal -Index rallied overall 1000 points in two days 8th & 9th Sep 2022
Last Idea - Island Reversal
The stock seems to be flashing 3 sell signals:
-> A topping pattern
-> Break below 200 DMA
-> Break of trendline from 2020 lows
Typical target based on this pattern would be around 12350, which also seems to be very close to the important wave 4 price extreme around 12130
Generally we see these patterns at the bottom or top of a rally. The market has to be in a prevailing trend for the last many waves. The wedge patterns suggest slow and gradual loss of momentum in the prevailing trend. This is a potential signal that a reversal is on the cards. Wedge formation can also be associated with decreasing volume, which act as another...
