Nifty Opened with positive gap of 57 points and started moving down with good volumes showing the weakness. But it took support from 4250 levels, and started moving up with out closing the gap. Initially it was moving up with low volumes and formed a Wolfe wave in 1 min charts target was reached immediately. At 12.30 Nifty gave a big bounce with volumes confirming that it is CD move of ABCD pattern, and started moving up and finally reached the target of Ascending Triangle. Below is the 1 min chart of Nifty Futures marked with Bearish Wolfe wave:
In price pattern Nifty formed an Inverted Head and Shoulders, but volumes are not supporting it, so its not a tradable pattern in my book.
On the higher side Nifty didn’t cross the important resistance of 4390/4400 levels and the 127.2% of BC Leg is also joined that resistance. If Nifty moves above this level on Monday then next resistance would be 4424/4435 levels as this is 100% move of AB leg and 50 % retracement of the entire down move starting from 12th June. But the Gap which is not covered is indicating that there CD may be an extension of AB. Then Nifty may move up to 4478 above which it may reach up to 4547.
On the lower side Nifty made another gap on June 26th that may give first support. Below that 4220 is next support if that is broken price may reach up to 4160 levels.
Below is the 20 min chart of Nifty Futures:
Below is the 20 min chart of Nifty Futures showing BC retracement:
11 comments:
What if nifty doesnt cross 4390/4400 levels on monday...what wud be the target of bearish wolf wave
Hi Doji,
This is Tutu. I am a day trader in NIFTY Future. Today I have gone through your blogs. Really it's a worthy analysis..Can you please tell me from where you are getting the charts ??
Very Nice blog.
My 2 cents
Market Europe - The idea comes to my mind - Range
The upper band of the range was visited on most indices. In the coming months expect a visit lower band again.
When I see the Vix to fall this way and the market with low volume,I think markets will crash or will visit again in sideways lower band of the range.
At the beginning of the year in most indices had a false break of the range. Let's see what market will do in the next 6-9 months.
Click to zoom in.
Enjoy
http://followmarketrend.blogspot.com/2009/06/market-europe-idea-comes-to-my-mind.html
Nice article. See also http://invetrics.com
Hi Doji
Can u pls post the intraday data for 29th June 2009.
Regards
Milind Patil
Hi Milind,
I just posted tick data, sorry about the delay. Was out of station.
Doji
@subbu84,
Target for that 1 min bearish wolfe wave is already reached. You can see the target line in acqua colour on the chart being touched by the price line in the chart shown above.
@Niranjan
Thank you. Charts are prepared by me in Amibroker.
@Carlos Júlio
Thank you. Your blog is very nice.
@michaeld
Thank you.
Hi Doji
Thank you.
Regards
Milind Patil
Hi Doji,
I have been a silent spectator of your blog. Very through analysis I must say, keep up the good work.
You said "In price pattern Nifty formed an Inverted Head and Shoulders, but volumes are not supporting it, so its not a tradable pattern in my book"
Almost all the blogs and forums mentioned about this pattern, but only you were very right that the pattern wouldn't succeed. Congratulations on that, and thank you that I sold off early with minimal losses.
Just wanted to say thank you, cheerios!
Dr. Mandeep Singh
Thanks Dr. Mandeep.
Volumes are very integral to head and shoulders and I prefer not to trade patterns that dont confirm by volumes. That keeps my risk/reward and success ratio high :)
-Doji
Hello madem,
u r analysis is good i observe blog from last three days . u r analysis is good. plz add my yahoo id and send trading alerts for me .my id is : vaenu999 and give nifty tips in blog buy above ,sell below and strog support levels in blog for nifty.
thanking u
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