I think I have found exact Fibonacci Grid for Nifty from Budget day rally up till now.
I am strong believer in Fibonacci series & always trying to find the relationship when ever I get spare time. We have witnessed tremendous rally from budget to till date & I think this Fibonacci grid exactly explains 100% of this rise. I am astonished when I saw this. See how all rallies & supports are matching this Fibonacci grid exactly.
Once again I am totally amazed & my faith in Fibonacci has increased a lot.
7842 SPOT PRICES IS THE SUPPORT FOR NIFTY. IF BROKEN THEN NEXT TARGET IS 7780 SPOT PRICE.
FIRST TARGET FOR NIFTY ACHIEVED 7842 IS THE SUPPORT AS PER OUR FIBBO GRID. NOW IF 7842 IS BREACHED THEN 2ND SUPPORT WILL BE 7780.
IF NOT THEN NIFY MAY RETRACE THE 61% OF TOTAL FALL FROM 7979 TO 7842 THAT VAULE IS APROX 7926.
SEE CHART AT https://amgonifty.wordpress.com/2016/04/25/nifty-mid-day-update-25042016/
FOR REPORT WITH CHARTS VISIT
On the trading day of 25/04/2016 nifty opened 7894 & registered a day low of 7827. We have prepared ourselves with the end of the day trading setup & have said that if nifty brakes 7873 on then we will have to prepare fresh set up without considering long call.
Now please observe at the day opening nifty took the resistance of 7908 as 61% retracement of fibo drawn from 7923 to 7884 & then declined till 7891 & rose till 7905 which is 78.6% resistance level of this fall from 7908 to 7891. So we have got 2 bearish confirmations. Again nifty started declining & broke 7873 which was 3rd bearish confirmation. Practically speaking if we have good hold of this picture then we would have initiated our shorts from 2nd confirmation i.e. 7905 keeping stop loss of 7908 so it has got low risk trade potential. Breaking of 7873 has given us the confirmation that nifty has got further downside. Then nifty took first support around 7842 & which is important support level as far as our larger extension grid is concerned & which you can see in larger time frame in this same report. Then nifty nifty made low of 7827 & finally closed with the maximum retracement for the day. As the closing retracement is maximum there are again 2 cases.
1.> As the retracement from 7827 to 7855 is 88.7% of the fall from 7859 to 7827. We may call this retracement is over & expect further downside tomorrow till next 1st target of 7780 as per our extension grid.
2.> If tomorrow by any means nifty manages to cross 7859 then we can expect further upside till 61.8% to 88.4% levels of total fall from 7978 to 7827.
See report at : https://amgonifty.wordpress.com/2016/04/26/nifty-eod-26042016/
On the trading day of 26/04/2016 Nifty opened gap down & immediately made a new low of 7822. Which was just 4 points lower than yesterday low.
Then nifty started rising till 7868 without much of a retracement. That is where yesterday retracement high was broken & soon nifty rose in a rapidly to 7974 to register a day’s high.
We were expecting one up move for the nifty but not till the 7974 but till 61% to 78.6% of total fall from 7978 to 7822. But the velocity of rise just astonished me.
On larger time frame I was assuming wave “e” completed at 7978. But because of today’s rise I am adding to my wave count on larger time frame a 7 legged pattern observed in neo-wave diametric diamond shape “a,b,c,d,e,f,g”. You can google for this pattern.
So I hope this leg which was up rapidly is a “g” leg & should be the last leg of this entire rally.
On a minute chart I am observing a triangle formation & will be confirmed tomorrow as it needs to break on lower side. If by any means if it breaks on upper side, then I will be proven wrong in identifying the bearish triangle. Any ways if broken upper side then also I feel 8050 area will be a strong resistance.
REPORT AVAILABLE AT : https://amgonifty.wordpress.com/2016/05/04/nifty-eod-04052016/
On the trading day of 04/05/2016 Nifty opened gap down as expected as nifty closed below 7780 yesterdays. So morning only it has given 60 points if we are short yesterday. Then nifty made intraday high of 7749. Today was again a neo wave pattern observed which diametric bow tie shape pattern. Which resulted in good short trade after completion of G wave & brake of red trend line as shown on chart.
Key points to remember now:
1> Nifty broke 7741 fibonacci grid level & closed below it. So stop loss for small positional traders will be 7741 + 10 points above it is 7751.
2> If you see my midterm chart, nifty has broken the red channel lower line. So this is an important guide line for me.
3> Now resistances which are apparently immediate are 7717 which is gap area lower line & 7741 which is our fibo grid line. Then next targets can be then 7680 then 7630 then 7590 then 7516.
4> Any move of nifty above 7741 now will call for a fresh look at the chart.