Hello Traders,
„Beware for the bears“ was my last headline for the analyse of NIFTY50! This was a good hint to give you a feeling what is possible now.
Indeed N50 failed to exceed the high at 10478.6, the wave (2) of ((C)) and declined the following days to new lows, today at 10080.85, which marks a 1.618 FibExt. So the past move down look like a wave 3, which is already done or close to do so. After ending this decline a short and brief „snap-back“ move up, which retrace the 0.38 of the preceding wave 3 is next and possible to complete a wave 4. Thereafter a decline to new lows is next to occur.
While I am not right sure above the degree of this move a minimum target to the downside is at 10078.39, which is the 0.618 FibExt of Wave ((A))! Here the decline can be done overall. But this is uncertain! Normaly a wave ((C)) retraces equal to wave ((A)) and so the target is at ~9736.4 at minimum!
Todays a/d-Ratio was shallow at 0.22, the lowest this week after a huge move at a/d-R on Monday at 15! As I told before a „Suckerplay“ move, which often occurs in wave „B“ rallys.
Nearly all Indices went down today and has showing weakness in all Sectors. So following the DOW-Theory there is no sign for a major trendreversal, to my view! May a short move up, as I wrote before, is possible but I think it will not last for long. So trading below the purple, dotted rising trendline is still bearish.
So, be prepared for the unexpected and always watch closely the EW-patterns. Nothing seems as it like to be....!
Have a great weekend
ruebennase
Questions and Comments are welcome!
Note!---> This analysis can be wrong. It is just in my view the one with the most probabiltity with the Data which are available to me and by my interpretation of the EW Theory. If you trade this it is done by your own risk and decision! Keep that in Mind!!!
Data by NSEIndia.com and moneycontrol.com!
„Beware for the bears“ was my last headline for the analyse of NIFTY50! This was a good hint to give you a feeling what is possible now.
Indeed N50 failed to exceed the high at 10478.6, the wave (2) of ((C)) and declined the following days to new lows, today at 10080.85, which marks a 1.618 FibExt. So the past move down look like a wave 3, which is already done or close to do so. After ending this decline a short and brief „snap-back“ move up, which retrace the 0.38 of the preceding wave 3 is next and possible to complete a wave 4. Thereafter a decline to new lows is next to occur.
While I am not right sure above the degree of this move a minimum target to the downside is at 10078.39, which is the 0.618 FibExt of Wave ((A))! Here the decline can be done overall. But this is uncertain! Normaly a wave ((C)) retraces equal to wave ((A)) and so the target is at ~9736.4 at minimum!
Todays a/d-Ratio was shallow at 0.22, the lowest this week after a huge move at a/d-R on Monday at 15! As I told before a „Suckerplay“ move, which often occurs in wave „B“ rallys.
Nearly all Indices went down today and has showing weakness in all Sectors. So following the DOW-Theory there is no sign for a major trendreversal, to my view! May a short move up, as I wrote before, is possible but I think it will not last for long. So trading below the purple, dotted rising trendline is still bearish.
So, be prepared for the unexpected and always watch closely the EW-patterns. Nothing seems as it like to be....!
Have a great weekend
ruebennase
Questions and Comments are welcome!
Note!---> This analysis can be wrong. It is just in my view the one with the most probabiltity with the Data which are available to me and by my interpretation of the EW Theory. If you trade this it is done by your own risk and decision! Keep that in Mind!!!
Data by NSEIndia.com and moneycontrol.com!