Hello Traders,
today I`dlike to show you, (I think that it is possible), that a longterm bullphase or bullmarked has come to an end or is close to do so!
Therefore I have choosen 3 of the most popular India Indices, which are the NIFTY50, NIFTY200 and NIFTYIT!
As you will observe, NIFTY50 and NIFTY IT (the left and the middle graph) has made there lows back to Sept`01 and have risen since both. NIFTY50 becames a „ten-bagger“ with NIFTY IT as the leading bull, has rais e it`s value sixteen times! This is a hugh move. Or in other words, I don`t think that this is the start of a bull marked, it is more the end of it, or the end of the strongest impulsive wave, which is a wave 3 in any degree!
At the right graph you see NIFTY200, (which is designed to reflect hte behavior of large and mid market capitalization companies. N200 includes all companies forming part of NIFTY100 and NIFTY Full Midcap 100 index).
Because of the short chart history to me avaliable, I have count N200 since the low in 2004 and 2008, which is close to the end of the financial crises. All three graphs shows a clear impulsiv structure since. So, it is possible to count them as „done“, most likely (to my view) in a wave 5 of (3)! The alternate interpretation is an upward correction for NIFTY IT within a wave B of (2)! Rather more, the performance of NIFTY IT look to me similar to what the DJIA has shown in a shortterm move since the January 18 low!
Overall the next move will occur to the downside, developing into a triangle or A-B-C correction for the Indices within a wave (4)!
With N50 and N200 performing below there high`s of August 28 and Sep`03, NIFTY IT is not willing to loose some pips of it`s value. One interpretation (to me) is, that NIFTY IT will start it`s decline or correction just a bit later as both other Indices did. This will be a divergence, which often accompies at Major trendreversals in markets. Or, just simple as it is, the bullmarked is running still on...! N50 and N200 have to perform to new ATH`s still within the next days and weeks in this case. For NIFTY IT there is a targetzone at the grey dotted uprising trendline around the 19k area in this case. Not bad if it will!!:-)
So, for shortterm NIFTY IT is still close to observe, because if this Index is at the forefront to a correction, a first „five-down“ on daily timeframe, is likely the end of this bullrun, with other Indeces to follow or running front.
Many investors (around the world) and at India too, are screaming out the new phase of a bull marked. This is to me not the truth, it is just close to and end or it has ended.
Once leading financial marked will enter the stage into a new bearmarked, investors will flew out of there values and a huge phase of „pain and agony“ will set the stage!
Be prepared for this and always a step at forefront to this possibility.
Be prepared for the unexpected...
Have a great day...
ruebennase
Questions and Comments are welcome!
Note!---> This analys 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!!!
today I`dlike to show you, (I think that it is possible), that a longterm bullphase or bullmarked has come to an end or is close to do so!
Therefore I have choosen 3 of the most popular India Indices, which are the NIFTY50, NIFTY200 and NIFTYIT!
As you will observe, NIFTY50 and NIFTY IT (the left and the middle graph) has made there lows back to Sept`01 and have risen since both. NIFTY50 becames a „ten-bagger“ with NIFTY IT as the leading bull, has rais e it`s value sixteen times! This is a hugh move. Or in other words, I don`t think that this is the start of a bull marked, it is more the end of it, or the end of the strongest impulsive wave, which is a wave 3 in any degree!
At the right graph you see NIFTY200, (which is designed to reflect hte behavior of large and mid market capitalization companies. N200 includes all companies forming part of NIFTY100 and NIFTY Full Midcap 100 index).
Because of the short chart history to me avaliable, I have count N200 since the low in 2004 and 2008, which is close to the end of the financial crises. All three graphs shows a clear impulsiv structure since. So, it is possible to count them as „done“, most likely (to my view) in a wave 5 of (3)! The alternate interpretation is an upward correction for NIFTY IT within a wave B of (2)! Rather more, the performance of NIFTY IT look to me similar to what the DJIA has shown in a shortterm move since the January 18 low!
Overall the next move will occur to the downside, developing into a triangle or A-B-C correction for the Indices within a wave (4)!
With N50 and N200 performing below there high`s of August 28 and Sep`03, NIFTY IT is not willing to loose some pips of it`s value. One interpretation (to me) is, that NIFTY IT will start it`s decline or correction just a bit later as both other Indices did. This will be a divergence, which often accompies at Major trendreversals in markets. Or, just simple as it is, the bullmarked is running still on...! N50 and N200 have to perform to new ATH`s still within the next days and weeks in this case. For NIFTY IT there is a targetzone at the grey dotted uprising trendline around the 19k area in this case. Not bad if it will!!:-)
So, for shortterm NIFTY IT is still close to observe, because if this Index is at the forefront to a correction, a first „five-down“ on daily timeframe, is likely the end of this bullrun, with other Indeces to follow or running front.
Many investors (around the world) and at India too, are screaming out the new phase of a bull marked. This is to me not the truth, it is just close to and end or it has ended.
Once leading financial marked will enter the stage into a new bearmarked, investors will flew out of there values and a huge phase of „pain and agony“ will set the stage!
Be prepared for this and always a step at forefront to this possibility.
Be prepared for the unexpected...
Have a great day...
ruebennase
Questions and Comments are welcome!
Note!---> This analys 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!!!