ONGC was seen correcting 38.2% of its prior leg up and looks good from current level to go long. The correction was an FLAT(3-3-5)(ABC). The stock is currently in wave iv of III of 3 and had multiple legs pending to the upside. The leg being anticipated would be the wave v of III of 3. INR 300 is the expected target level for the stock. INR 250 remains a crucial support moving ahead.
sir why does price are mostly moving in parallel channels ??
neeraj_2_sharma
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@hritikmaurya9768, The "ELLIOT WAVE THEORY" answers this question my friend. According to the theory, price can almost always be traced along a parallel-channel when it is moving in an impulsive manner. Only when the 5-wave advance/decline are completed, the price breaks the channels.
@hritikmaurya9768, sir which points are most important highest and lowest or points where most highs and lows touch each other , while drawing channel .
neeraj_2_sharma
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@hritikmaurya9768,both are different styles of drawing channels and both are equally important depending on the situation. From wave theory perspective, highs and lows have to be considered. To get a better idea about mean and average price you should consider the points with most highs and lows.
hritikmaurya9768
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@neeraj_2_sharma, okk sir thank you , i've been checking the price since morning and i've noticed that termination point and start of a wave produces more average price than actual high and lows.