As per the Annual chart, Wave 1 is a 3 Wave Sequence structure,
Wave 2 has retraced Wave 1 by less than 100% which suffices the Rule of the Wave 2, Now Wave 3 is forming now according to the fibonacci extension levels Wave 3 extends to 161.80% of the Wave 1 that way the Target for IOB is 367.20
IT STOCK HAS LOW ADX VALUE INDICATING A REVERSAL OF ADX. THIS CAN LEAD TO A HUGE MOMENTUM IN EITHER UP OR DOWN
. AS THE SCENERIO IS LOOKING BULLISH, THERE IS HIGH PROBABILITY THAT IT CAN GO HIGH ATLEAST 5-8 PERCENT FROM NOW.
Friday was quite eventful and failure to take out the retracements zones pointed earlier proved that markets are facing selling pressure at top. at the sametime now the current range is proving indecisive.
A break below 19800 can only bring in the downside movement to potentially test the lower trend line support zones around 19600. while 20050-20100 would be the...
Bank nifty has reversed from 1.618FE of wave 1. IF it takes support at the 38% or 50% fib levels (and the trendline), then it could result in a sharp up move to new highs. This should pull Nifty too; just that the wave structure is clearer here.
(Support at the 23% fib level for the up move after that is possible too but then an initial entry would be difficult...
