Hello Traders, at the latter week, NIFTY50 has change just ~70 points down, week to week. It failed to break above the 17392 range and set a „bearish engulfing“ at Friday's session. This is a bearish pattern, and it often announces 2-3 days of falling prices. The pattern is invalid, if price close above 17392! If the idea of the w-x-y-x-z-pattern plays out, the path is to the downside, with levels below 16013 range. In this case, the possible wave 2 (blue) is invalid, and price can touch the declining trend line @ ~15000 range! But short term (next 1-3 days) the levels down should be at 16848-16563. Any move above the 17392 will open the door to a gap-close at 17475 (close on April 13) and 17600 area. With N50 in a corrective phase since October 19, the correction isn't down to my view and the focus should be to the downside. Have a great week..... Ruebennase
Feel free to ask or comment! Trading this analysis is at your own risk!
your Elliott count is looking little incorrect I guess, if you're free, I've also posted the chart, kindly check if you wish to :)
Raahuls
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Thanks as always for your analysis. Just a little confusion on the last paragraph stating.... the correction isn't down to my view and the focus should be on the downside. Or is it that we would bounce after a 2 to 3 day fall and then fall again.
ruebennase
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@Raahuls, Hi, thx aus always and for your comment. Indeed. There is a typo. The focus should be on the downside!