The fall from 5340 clearly shows 5 wave pattern, and the last 3 days swings suggests the 5th wave is extending and forming ending diagnol pattern. To confirm this we are in 5th wave, +ve divergence has been shown in the RSI.

So next week there could be another 30 to 50 points fall (to complete wave 'v' of wave '5') and take a reversal and move to the range of Wave '4' i.e 5100 range.

Incase if NIFTY falls below 4850 (then ending diagnol consideration might be out), bcs wave 'iii' cant be shortest. So Nifty has to recover before 4850 to expect relief rally in NIFTY.

Yes Kesava,

I totally agree with you that market can bottom shortly near around 4900 or 4850 or even less than that.

But after this bottom it is not going to be a relief rally , it will be a strong rally , say nifty can bounce back to its recent high of 5600 or high in the next quarter,

The fall from 5629 top made in feb 2012 till date is corrective in nature, hence do not expect the previous low to be taken out so easily.

The market is with more of shorts than long position and bearish sentiment is prevailing and pessimistic in nature , So good time for medium term investors to buy on any declines.

Thanks
Goutham Chand

Either Nifty is going to crash or going to rebound ferociously, i cant see anything like a relief rally. There is a triangle breakdown on nifty whose tgts are like 4850 & from there i expect nifty to kick on higher & above 5660 for sure. new highs look difficult to me as there are no new horses market can run on & rally might stop below 6000.

Focus is on buying Infrastructure stocks as they have been beaten down completely & beaten down again. i would like to avoid Reliance as well despite being at really beaten down levels, i expect it to continue to underperform till 532 levels.

Regards
Anand Sancheti

Anand

Either Nifty is Going to Crash or going to rebound ferociously .....that is the question every trader asks every day. It Would be great if you can post a chart to put up your views on various scrips you just mentioned, so the members can discuss and share and others can understand and gain from your ideas and work.

Yes , it is true that we add points to support our analysis , Regarding stocks I will update little later , but Nifty based on Elliott , I am Bullish and I feel that it should move up sharply .

WAVE ( A ) 6388 TO 4720

WAVE ( B ) A 4720 TO 5630 EXPANDED FLAT – COMPLICATED.
WAVE ( B ) B 5630 TO 4868 ??
Nifty must have formed bottom or it may form bottom shortly.

This count is valid as long as Nifty stays above 4720

Why I am not bearish at this point is WAVE B generally takes more time than WAVE A.

Both price wise and Time wise Nifty has to stay up for some more time before making any sharp lows say 4720 or 4530.

WAVE ( B ) C will have to move upward. Say 5630 …..