Hello Traders,
N50 declined this morning below the .382 FibRT of the advance (11234.95-11760.20) with an a/d-Ratio of 0.22! This low reading often indicate a countertrend push or the start of a new advance. For now I expect a countertrend, while the pattern of the decline is a „three“ down to my view. Also we have seen an „extending five of a five“ a possible stopping range for a correction is the wave 2 low at 11340 zone or the range of a wave 4 of lesser degree @11234.95 marked with the red dotted trendline at chart! The .382 Fib-RT of the advance (105573-11762) is right between both targets, so it remain as a possible stoppingzone!
The broader Index, SENSEX declined five days in a row, which at least happend from June 13- 19, and it declined five of six tradingdays from May16-23! After both corrections ended SENSEX rallied and retraced nearly .88RT of the decline, seen in both corrections!
The NSE TRIN (SMA10) pushed from a low reading @ ~0.65 to 0.9 this morning, suggest that the overbought conditions were to reduced!
Even too, NIFTY Bank fell hard and dropped into the range of a possible wave 4 at 27327! Other important Indexes declined too, and I think that this corrective phase is not done for now, even a pullbakc seems possible!
While Indias currency is also still advancing, the odds do increase for this view! Also note the VIX which obviously biuld a triple bottom and tend to advance higher, what may forcast an ongoing corrective time.
As before. A pullback into the 11602-11552 zone is may next to occur, after that the second leg of the decline will be next!
As long as the 11496.85 remains the low, several pattern are possible, as a flat or a triangle!
Have agreat 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!!!
Data by NSEIndia.com!
N50 declined this morning below the .382 FibRT of the advance (11234.95-11760.20) with an a/d-Ratio of 0.22! This low reading often indicate a countertrend push or the start of a new advance. For now I expect a countertrend, while the pattern of the decline is a „three“ down to my view. Also we have seen an „extending five of a five“ a possible stopping range for a correction is the wave 2 low at 11340 zone or the range of a wave 4 of lesser degree @11234.95 marked with the red dotted trendline at chart! The .382 Fib-RT of the advance (105573-11762) is right between both targets, so it remain as a possible stoppingzone!
The broader Index, SENSEX declined five days in a row, which at least happend from June 13- 19, and it declined five of six tradingdays from May16-23! After both corrections ended SENSEX rallied and retraced nearly .88RT of the decline, seen in both corrections!
The NSE TRIN (SMA10) pushed from a low reading @ ~0.65 to 0.9 this morning, suggest that the overbought conditions were to reduced!
Even too, NIFTY Bank fell hard and dropped into the range of a possible wave 4 at 27327! Other important Indexes declined too, and I think that this corrective phase is not done for now, even a pullbakc seems possible!
While Indias currency is also still advancing, the odds do increase for this view! Also note the VIX which obviously biuld a triple bottom and tend to advance higher, what may forcast an ongoing corrective time.
As before. A pullback into the 11602-11552 zone is may next to occur, after that the second leg of the decline will be next!
As long as the 11496.85 remains the low, several pattern are possible, as a flat or a triangle!
Have agreat 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!!!
Data by NSEIndia.com!