Nifty's Daily charts are bullish, wherein there is a Bullish engulfing candle,5/10DMA bullish cross and MACD bullish cross:
But the Hour Charts are looking fatigued and negative divergence has started appearing:
.png)
Global sentiments are positive today and a gap-up is expected. If we have a gap-up opening above 5405 then we would keep inching upwards to 5432+ before IIP data would come into play.
Above 5405 would invaldate the 5 wave Impulse proposed in chart above:
(i)=5216-5260=44
(ii)=5260-5230=30
(iii)=5230-5375=145(329%)
(iv)=5375-5333=42
(v)=5333-5405*=72 (162%) and both (iii) & (v) cannot be extended.
And in that scenario,one Probability would be to view the current upmove as a 3 wave form wherein:
a=5216-5375=159
b=5375-5333=42
c=5333- upward minimum o.62*a=99=5432 and ideal c=a=159=5492
[Please note that this abc is being seen as wave B of a Flat ABC of higher degree wherein A(3wave) =5448-5216)] illustrated in following chart:
.png)
EOD
On one hand I am happy with my analysis.
However,in the heart of my heart I know that when market choppiness is not allowing me to rake in intra-day profits,how others who go through my analysis would benefit(other than academically) from it??? But attempt is to identify wave high/low and play a bigger wave where intra-day choppiness would not affect the larger trade.
In the morning I had mentioned that in case of Nifty remaing below 5405,it would be labelled as a 5 wave form but in case of Nifty going above 5405 (one of the Probabilities--my preferred one) would be to see it as a 3 wave B of higher degree ABC in following manner:
..png)
a=5216-5375=159
b=5375-5333=42
c=5333- upward minimum o.62*a=99=5432 and ideal c=a=159=5492
And this minimum has been done----
Another,noticeable thing is that the negative divergence that was visible by yesterday EOD on Hour charts ,has vanished.So now,technically speaking,we need a dip and a fresh top to appear with negative divergence to create shorts-----
Otherwise, the following channel-break would also indicate end of upmove:
.png)
And a look at Daily Charts also:
.png)
But the Hour Charts are looking fatigued and negative divergence has started appearing:
However,as has been noticed earlier also, appearance of negative divergence is no guarantee that downmove will begin immediately.One should wait for either bearish cross on Hour MACD or channel break before going short..And for that the following channel break can be used--
.png)
Global sentiments are positive today and a gap-up is expected. If we have a gap-up opening above 5405 then we would keep inching upwards to 5432+ before IIP data would come into play.
Above 5405 would invaldate the 5 wave Impulse proposed in chart above:
(i)=5216-5260=44
(ii)=5260-5230=30
(iii)=5230-5375=145(329%)
(iv)=5375-5333=42
(v)=5333-5405*=72 (162%) and both (iii) & (v) cannot be extended.
And in that scenario,one Probability would be to view the current upmove as a 3 wave form wherein:
a=5216-5375=159
b=5375-5333=42
c=5333- upward minimum o.62*a=99=5432 and ideal c=a=159=5492
[Please note that this abc is being seen as wave B of a Flat ABC of higher degree wherein A(3wave) =5448-5216)] illustrated in following chart:
.png)
EOD
On one hand I am happy with my analysis.
However,in the heart of my heart I know that when market choppiness is not allowing me to rake in intra-day profits,how others who go through my analysis would benefit(other than academically) from it??? But attempt is to identify wave high/low and play a bigger wave where intra-day choppiness would not affect the larger trade.
In the morning I had mentioned that in case of Nifty remaing below 5405,it would be labelled as a 5 wave form but in case of Nifty going above 5405 (one of the Probabilities--my preferred one) would be to see it as a 3 wave B of higher degree ABC in following manner:
..png)
a=5216-5375=159
b=5375-5333=42
c=5333- upward minimum o.62*a=99=5432 and ideal c=a=159=5492
And this minimum has been done----
Another,noticeable thing is that the negative divergence that was visible by yesterday EOD on Hour charts ,has vanished.So now,technically speaking,we need a dip and a fresh top to appear with negative divergence to create shorts-----
Otherwise, the following channel-break would also indicate end of upmove:
.png)
And a look at Daily Charts also:
.png)
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