Hello Traders,
NIFTY50 declined this morning to 12107.50 after it took a „short recovery“ as I wrote at my last analysis. The „gap-down“ which occurred this morning is the start of a wave „3“ to the downside.
The question is: „Is it wave „3 of c“ or is it wave „1 of 3“?
The move from 12427.95 that started on January 20 looks not complete so one more leg down is next I favor in the coming hours.
If so, a common target range for a leg down is a minimum at 11932, where wave „c=a“.
More bearish potential exist.
If today`s move is not complete, as I think, a potential stopping area surrounds at the 12028 level, where a wave „3“exceeds the 1.618 Fibonacci of wave „1“. Notice the degree!
The decline from 12247 – 12087.90 is not a clear „five-down“, so multiple options exist. We have to wait `til a clear favorite is to observe in the coming hours and days.
Any advance above 12273, the intraday high on January 24 opens the door to 12298, the 0.618 Fibonacci of the decline from 12427 – 12087.90.
Have a great week...
ruebennase
Feel free to ask or comment.
Trading this analysis is at your own risk!
NIFTY50 declined this morning to 12107.50 after it took a „short recovery“ as I wrote at my last analysis. The „gap-down“ which occurred this morning is the start of a wave „3“ to the downside.
The question is: „Is it wave „3 of c“ or is it wave „1 of 3“?
The move from 12427.95 that started on January 20 looks not complete so one more leg down is next I favor in the coming hours.
If so, a common target range for a leg down is a minimum at 11932, where wave „c=a“.
More bearish potential exist.
If today`s move is not complete, as I think, a potential stopping area surrounds at the 12028 level, where a wave „3“exceeds the 1.618 Fibonacci of wave „1“. Notice the degree!
The decline from 12247 – 12087.90 is not a clear „five-down“, so multiple options exist. We have to wait `til a clear favorite is to observe in the coming hours and days.
Any advance above 12273, the intraday high on January 24 opens the door to 12298, the 0.618 Fibonacci of the decline from 12427 – 12087.90.
Have a great week...
ruebennase
Feel free to ask or comment.
Trading this analysis is at your own risk!