Nifty Updates and Elliott Wave Analysis for 13 March 15

| March 13, 2015

Nifty opened Gap Up today and traded with strength whole day. Nifty also bounced above 8755 as I alerted in my Elliott Wave analysis report of nifty for 12 March 15 because of Irregular Correction at bottom. Nifty opened gap up but didn’t fill the gap and closed 76 points up after giving low of 8732 and high of 8787. There is some change in previous counts, let me show on charts.

Elliott Wave Analysis of Nifty for 13 March

Elliott Wave Analysis of Nifty for 13 March

This is 15 minutes time bar chart of Nifty showing move after all time high 9117. There is change in the wave’s counts I shown in my previous report where I was expecting waves 1 and 2 of C are completed and 3 in progress but personality of move is not convincing for previous patterns now as wave 3 should not be so slower than 1.

Now, there are two possibilities for counts;

  1. Either, it is a corrective wave (ABC) completed at 8678 as shown by yellow markings. Wave C projected just above 100% of A here. In this case, we can expect minimum bounce till 8930 if it is a part of complex correction and above new high if it is a normal correction. This is the probable conditions as Nifty didn’t fill the gap of yesterday which is the personality of wave 3.
  1. Or, it is wave 1, 2 and 3 are completed and 4 in progress as shown by white marking on chart. Wave 3 in this case is highly extended as projected exactly 400% of 1. In this case, Nifty may start decline from 23% to 38% retracement of wave 3 for wave 5 and can lose 150 to 300 points from reversal points (38% to 61% of whole move from 9117 to 8678)

Let’s have a look on move after low 8678:

Elliott Wave Analysis of Nifty for 13 March

Elliott Wave Analysis of Nifty for 13 March

This is 5 minutes time bar chart of Nifty showing move of last 3 days.

This move is same as I expected yesterday. There was an impulsive upwards followed by Irregular correction and followed by next impulsive upside. This pattern can be (ABC) or (123) which is difficult to say now.

There is overlapping of waves in inner wave 5 of (3 or C), sometimes we see this type of pattern within wave 5 where price open gap up and fall sharply. We need to observe the move after opening.

Nifty opened Gap Up but didn’t fill it, this is personality of wave 3 and there can be good upside move of 120 to 180 points if it is actually wave 3.

But if Nifty opened Gap up tomorrow and decline sharply below 8755 or opened gap down below 8744 then there are possibilities that this move is (ABC) and we can see a good decline of 150 to 250 points in coming sessions.

Conclusion:

The current scenario on chart is not clear for any confident conclusion. There are possibilities for both upside and decline and we need to observe live waves during live market hours for conclusion. There is no safe trade that can be suggested as of now. Any trade can be done only after seeing live waves during market hours after identifying latest pattern on smaller time frame. Overall, Nifty is strong as long as it trades above 8755.

Important Note

Many of my followers and blog readers trade on my reports. But one thing must in your mind that chart patterns and personality of waves can change anytime and levels can also change. So, you need to be updated with latest waves if you are trading on my reports. Stoploss or targets I suggested 2 days back may not be valid next day. There is change in levels if there is change in patterns.

I provide my latest updated analysis report to my clients but don’t update on website everyday for my clients satisfaction as it is the requirement of business.

So please, either don’t trade on my reports and read it just for outlook or, if you are trading then never quotes the old analysis reports. There is change in stoploss and levels everyday which you may not be aware of.

On the other hand, these reports I prepare for my students/learners for practical training and practical examples. My students can understand these reports easily but it may be difficult to understand for those who don’t have knowledge of Elliott Wave Theory.

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Category: Nifty

About the Author ()

Deepak Kumar is an independent Technical Analyst, regular practitioner and Trainer of Elliott wave theory applying Elliott's Wave Principles on Indian Markets successfully since 2011 and made many accurate predictions. He is also the author of book "Practical Application of Elliott's Wave Principles by Deepak Kumar"

Comments (12)

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  1. ak says:

    Tata steel and reliance look best to buy
    Long term trendline support

  2. ak says:

    Look like we have completed wave 5.Monday will gap up open. We can buy with sl 8560 spot.

  3. ak says:

    17/3 -we look like in falling wedge formation.buy above 8770 or at 8550.

  4. ak says:

    Wave 5 may be till 8550

  5. RAJIV NIKAM says:

    hourly chart
    wave1=9117-8852
    wave2=8852-8957 fast
    wave3=8957-8682
    wave4=8682-8847 slow
    wave5=8847

  6. rajveer says:

    The US Market tested its 50 dma recently, Nifty’s 50 dma is at 8658 so looks like we are headed there short term.

  7. Vinay Malhotra says:

    Mr Deepak,

    You know your job, I am depositing in your account tomorrow, and slowly we will expand cooperation