NIFTY: Last Support or the First Resistance!

Purely from the point of view of the recent moves that date last one month of action, the below can be inferred. Please note any analysis of this sort need a wholistic approach from the broader waves that is in operation in all the cycles.


We completed the perfect 5 way move. Subsequent to that we have more or less the three wave deeper correction. (why deeper requires bigger wave analysis that is not part of the topic here)

The three waves down move, the last impulse C more or less appear to be completed. This means we have to wait and see the rise will unfold in three ways or five waves (three waves signify larger correction to the south), that means we are approaching the first resistance once broken, or the last support for the rise.

Another approach is to measure the rise of the wave in retracement factor that clearly pushes the zone of 22330-430 as the supply zone.

In both the cases, this becomes as strong supply zone to start with. So, you have two points to note in terms of negotiating the markets. One the support, which is also identified as the hammer. Second the resistance. 22330 zone.

For the day however 22070-22270 range is favoured