Hello Traders,
NIFTY50 rised this morning to my favored target zone at 9945,95, retraces 0.53% of the decline from 10178.95-9687.55, reached to the level of the previous wave 4 and reversaled sharp after touching that level. So to my view the corrective move in a wave ii is done and a sharp decline in a wave iii -0.08% of c is at forefront. Trading below the wave ((B)) low at 9834 will be a first sign that a decline has started, below 9775, wave 4 low, the second. Both has to occur within a solid decline by increasing volume and Vola! This scenario remains in tact as long as the level at 10078 is not touched. Todays 0.00% a/d-Ratio was shallow at 0.72, telling more sellers at the tradingfloor as buyers.
By observing the USDINR -0.10% we also see, that the pair is in a volatile phase of a correction, within a wave 4 of lesser degree, telling us a sideways move is ahead, like a flat or a triangle to occur.
Note: on a daily basis NIFTY50 shows a"dark-cloud-cover" Candle-stick-formation, typiclly a reversal pattern, right at the middle KC-line!
The alternate scenario to NIFTY -0.26% is that a new advance has started at 9687.55 and is still in progress while it is possible to count the first five waves as a wave i with a very shallow correction in a wave ii. This behavior often occurs to very strong and trending markets, but to me it is the alternate with the lesser possibility.
Vola (45 min) is still lagging, often indicating strong winds ahead (a phase of lesser Vola is always followed by one of higher Vola)!
It will be interesting to monitor behavior of USDINR -0.10% and the next move in both, NIFTY50 and the pair.
Have agreat day
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 NSE!
NIFTY50 rised this morning to my favored target zone at 9945,95, retraces 0.53% of the decline from 10178.95-9687.55, reached to the level of the previous wave 4 and reversaled sharp after touching that level. So to my view the corrective move in a wave ii is done and a sharp decline in a wave iii -0.08% of c is at forefront. Trading below the wave ((B)) low at 9834 will be a first sign that a decline has started, below 9775, wave 4 low, the second. Both has to occur within a solid decline by increasing volume and Vola! This scenario remains in tact as long as the level at 10078 is not touched. Todays 0.00% a/d-Ratio was shallow at 0.72, telling more sellers at the tradingfloor as buyers.
By observing the USDINR -0.10% we also see, that the pair is in a volatile phase of a correction, within a wave 4 of lesser degree, telling us a sideways move is ahead, like a flat or a triangle to occur.
Note: on a daily basis NIFTY50 shows a"dark-cloud-cover" Candle-stick-formation, typiclly a reversal pattern, right at the middle KC-line!
The alternate scenario to NIFTY -0.26% is that a new advance has started at 9687.55 and is still in progress while it is possible to count the first five waves as a wave i with a very shallow correction in a wave ii. This behavior often occurs to very strong and trending markets, but to me it is the alternate with the lesser possibility.
Vola (45 min) is still lagging, often indicating strong winds ahead (a phase of lesser Vola is always followed by one of higher Vola)!
It will be interesting to monitor behavior of USDINR -0.10% and the next move in both, NIFTY50 and the pair.
Have agreat day
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 NSE!