Hello Traders,
NIFTY50 declined to 10670.50 on September 19, but failed to exceed the target range as of my last analyze @ 10311 to 10123! Instead, after a „five-down“ N50 soar to 11381.55 just in a one day move, with an a/d-ratio of 7.3 and a bullish TRIN at 0.69! So, the triangle idea failed to develop, a flat pattern occurred.
This move is not clear a „five -up“, but it reached to a 1.382 Fib-Extension of wave ((A)), which is a target for a wave „c“ of a flat pattern. Moreover, it has met perfectly a 0.5 Fibonacci of the decline from 12103-10637. So the odds are given, that this move was countertrend and it was all of the move or it needs one more up-sequence to complete. So this final move was a wave ((C)).
If N50 will advance higher, one will be an advance to ~11485.92 level, a 1.618 Fibonacci of wave ((A)), circle. Some tics above the 0.618 Fibonacci of the decline 12103-10637is to notice, again, a strong resistance area to my view (resistance area marked with the green box)!
If so to come, the next hours will push N50 to lower levels below the 10637 from September 23.
A first hint for this idea is a decline below the 10669 level, the wave ((B)) low.
Any close above the 11366-11485 area will rescind the bearish outlook because wave „C“ of the flat would be too long in terms of price. A flat pattern rarely can exceed a 2.618 Fibonacci of wave „A“, but this is not my way to count a wave „C“ of a flat yet.
We will discuss any development here.
Have a great weekend...
ruebennase
Feel free to ask or comment.
Trading this analyze is at your own risk!
NIFTY50 declined to 10670.50 on September 19, but failed to exceed the target range as of my last analyze @ 10311 to 10123! Instead, after a „five-down“ N50 soar to 11381.55 just in a one day move, with an a/d-ratio of 7.3 and a bullish TRIN at 0.69! So, the triangle idea failed to develop, a flat pattern occurred.
This move is not clear a „five -up“, but it reached to a 1.382 Fib-Extension of wave ((A)), which is a target for a wave „c“ of a flat pattern. Moreover, it has met perfectly a 0.5 Fibonacci of the decline from 12103-10637. So the odds are given, that this move was countertrend and it was all of the move or it needs one more up-sequence to complete. So this final move was a wave ((C)).
If N50 will advance higher, one will be an advance to ~11485.92 level, a 1.618 Fibonacci of wave ((A)), circle. Some tics above the 0.618 Fibonacci of the decline 12103-10637is to notice, again, a strong resistance area to my view (resistance area marked with the green box)!
If so to come, the next hours will push N50 to lower levels below the 10637 from September 23.
A first hint for this idea is a decline below the 10669 level, the wave ((B)) low.
Any close above the 11366-11485 area will rescind the bearish outlook because wave „C“ of the flat would be too long in terms of price. A flat pattern rarely can exceed a 2.618 Fibonacci of wave „A“, but this is not my way to count a wave „C“ of a flat yet.
We will discuss any development here.
Have a great weekend...
ruebennase
Feel free to ask or comment.
Trading this analyze is at your own risk!