Nifty View Post Oct 26th
Mis à jour
Just sharing the current market geometry of Nifty.
As per geometry, market hit the 100% extension of the covid wave rally and correcting, market broke the 85.4% (24650) on downside and entered inside our major pitchfork.
I feel the selling is over, there was a post about head and shoulder on upside and price may fall up to 23200 levels and all...i admit it. i feel a bit off about the left shoulder and based on price action i feel it doesn't qualify for the pattern.
I am providing the view based on geometry like before and ignoring the pattern concept and keeping the trades simple. No complications.
1) Nifty completed rally from the low if Budget day elections , 21274 to 25089 and then correction dip to 24896 and rallied to 24248 (ATH) which is exactly 61.8% extension of the 1st wave and we saw big players pulling out the money because its also 100% extension rom covid low.
This we all know. see in weekly charts for clear understanding from the levels mentioned .
Minimum rule 2nd candle should properly break the 1st candle to confirm momentum in that direction. If we view the weekly candles the market formed a big red candle and 2 equal wick candles ( 7th Oct and 14th Oct weekly candles) and then formed a big red candle.
As per the rule, the selling is not confirmed at weekly level. how does this help?
1) We have 50% and 61.8% pitchfork levels right around where the current selling extension (100%) might end and market ( 23650) levels.
Levels of next testing
1) 24115 ( already tested on friday)
2) 24023 (76% extension of current extension wave)
3) 23879 ( 85.4% extension of current extension wave)
Last support line
4) 23646 (100%) and pitchfork 50% and 61.8% lines should give strong support here ( see chart, green lines upside) market spent lot of time earlier to break these lines and price action is also very solid base .
If markets fall below this, then we can confirm its head and shoulders pattern and can extend till 23200 level ( opening price of July elections). Apart from this i don't see any other scope
As per geometry, market hit the 100% extension of the covid wave rally and correcting, market broke the 85.4% (24650) on downside and entered inside our major pitchfork.
I feel the selling is over, there was a post about head and shoulder on upside and price may fall up to 23200 levels and all...i admit it. i feel a bit off about the left shoulder and based on price action i feel it doesn't qualify for the pattern.
I am providing the view based on geometry like before and ignoring the pattern concept and keeping the trades simple. No complications.
1) Nifty completed rally from the low if Budget day elections , 21274 to 25089 and then correction dip to 24896 and rallied to 24248 (ATH) which is exactly 61.8% extension of the 1st wave and we saw big players pulling out the money because its also 100% extension rom covid low.
This we all know. see in weekly charts for clear understanding from the levels mentioned .
Minimum rule 2nd candle should properly break the 1st candle to confirm momentum in that direction. If we view the weekly candles the market formed a big red candle and 2 equal wick candles ( 7th Oct and 14th Oct weekly candles) and then formed a big red candle.
As per the rule, the selling is not confirmed at weekly level. how does this help?
1) We have 50% and 61.8% pitchfork levels right around where the current selling extension (100%) might end and market ( 23650) levels.
Levels of next testing
1) 24115 ( already tested on friday)
2) 24023 (76% extension of current extension wave)
3) 23879 ( 85.4% extension of current extension wave)
Last support line
4) 23646 (100%) and pitchfork 50% and 61.8% lines should give strong support here ( see chart, green lines upside) market spent lot of time earlier to break these lines and price action is also very solid base .
If markets fall below this, then we can confirm its head and shoulders pattern and can extend till 23200 level ( opening price of July elections). Apart from this i don't see any other scope
Note
All 3 levels are testedTransaction en cours
Last time of support 23646 also tested.Trade fermée: cible de profit atteinte
Another fall almost close to our level of 23200 level. As per fib based time series extension, market completed 200% by Nov29th , the next day of Nov month expiry and also India GDP data release. new trend might start post that.
As per levels , 23200 level might still be possible 50/50 chance, if it has to do it shd be before nov 29th.. just a speculation.
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