Algo-trading and frequent gap-ups and gap-downs(caused by overnight global news) has made the identification of 3wave forms difficult. Many a times a retracement ---- of smaller degrees in particular --- doesnot look like a 3w form.
I mentioned in my yesterday's post, the probability of wave B( or W2?) of doing a Triangle:
.png)
In a Triangle, all the constituents are supposed to be corrective forms with probability of 'e' being a triangle in itself being quite pronounced.
In the above chart,'a', 'b' and 'd' donot exactly fulfil that criteria and purists are likely to squirm ---
However,Monday is likely to see an upmove led by NBFCs and financials but will it be able to pass 5971 ???---
If it does, then a deeper cut as Wave C awaits us and the budget may very well trigger that but if if 5971 remains unconquered then probability of deep-cut Wave C would get diluted. This thought stuck me on observing two Nifty heavy-weights -- LnT and SBI--- which indicate bottoming out.
And therefore if 5971 remains unconquered, then we may see the downmove from 6112 bottoming out in 5812-5782 zone and a Sharp-upmove from there (to be triggered by budget??)---
.png)
I mentioned in my yesterday's post, the probability of wave B( or W2?) of doing a Triangle:
.png)
In the above chart,'a', 'b' and 'd' donot exactly fulfil that criteria and purists are likely to squirm ---
However,Monday is likely to see an upmove led by NBFCs and financials but will it be able to pass 5971 ???---
If it does, then a deeper cut as Wave C awaits us and the budget may very well trigger that but if if 5971 remains unconquered then probability of deep-cut Wave C would get diluted. This thought stuck me on observing two Nifty heavy-weights -- LnT and SBI--- which indicate bottoming out.
And therefore if 5971 remains unconquered, then we may see the downmove from 6112 bottoming out in 5812-5782 zone and a Sharp-upmove from there (to be triggered by budget??)---
.png)
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