RISING WEDGE in BANK NIFTY and NIFTY HOUR CHARTS:
ANALYSIS FOR JULY 31:
Nifty has painted a BULLISH picture with a Close above all Day Parameters - Day Pivot, Hema, 5EMA and LEMA. It was a Channel Breakout today with a GOLDEN CROSOVER - Inching steadily above all Hour - averages and Day 100 DMA to Close just below the 200 Hr MA and 20 DMA. An Hourly Close above the 200 Hr MA above 5205 would be the initial step for the upward momentum to continue.
The above chart clearly shows the Channel breakout with Golden Crossover - 50 SMA over 200 SMA.
Harmonic Pattern:
As per the Continuation of the 5-0 Bullish Pattern (CLICK HERE) - A Highly Bullish picture is seen with targets upto - 5390 - 5450 - 5500, 5600++ levels.
Considering the above chart
ALTERNATE-1 - Continuation of 5-0 Pattern:
Bullish 5-0 pattern:
XA - 4804 - 5020
B - 4770 - 113% retr of XA
Current C - 5349 - approx 224% retr of AB DONE
D - 5032 - 50% retr of BC - DONE
Projection for E:
50%- 5190.5 - DONE
61.8% - 5227.91
88.6% - 5312
113% - 5390
161.8% - 5544
This will fit with the EW scenario -
Corrective A - 4770 -5349
B - IF Completed at 5032 (50% of wave A)
C - min A = 579 points = 5032+579 = 5611
Considering the ALternate -2:
Alternate -2 Development of Bullish Bat Pattern:
XA - 4770 - 5349
B - 5032 - 50% of XA
Proj for C -
50% -5190 - Done
61.8% - 5227
78.6%- 5281
88.6% - 5312
Considering the EW Count- Untill Nifty surpasses the 88.6% retr above 5312 - the above scenario as depicted in chart would Hold good. i.e,
a.B - 5349 - 5032completed at 5032
b.B - 5032 - 52xx - 5312 - yet to be completed 52xx - 5312(currently 50% retr is over)
c.B - 49xx levels.
SYNOPSIS: -CONSIDERING THE BREAKOUT AND BEING THE LAST DAY OF THE MONTH AN EOD CLOSE ABOVE THE MONTH 5 EMA - 5175-5180 LEVELS WOULD TAKE NIFTY TO THE NEXT MONTHLY LEVEL OF MONTH HEMA - 5340++ LEVELS.
HOLD LONGS TRAILING SL TO 100 DMA - 5154 NS.
| Trade Table | |||
| Current pattern | X-A | B (CURRENT) | |
| BULLISH BAT PATTERN | 4770-5349 | 5032 | |
| Trade initiated | SL EOD close BELOW 5150 | ||
| BOUGHT AT 5130NF JULY 27 | Proj for C | ||
| 50.00% | 5190 - DONE | ||
| 61.80% | 5227.00 | Week HEMA | |
| 78.60% | 5281.00 | ||
| 88.60% | 5312.00 | month Hema |
A BULLISH GARTLEY PATTERN HAS DEVELOPED IN BANK NIFTY WITH ST TARGETS AT 10550 - 10650++ (CLICK HERE)
| Developing Month Levels | |
| CLOSE | |
| PIVOT | 5194 |
| HI EMA | 5344 |
| LOW EMA | 4932 |
| 5 EMA | 5182 |
| 5 SMA | 5189 |
| High | 5349 |
| LOW | 5032 |
| CHECK LIST-DAY | |||
| CLOSE | 5200 | 5 SMA | 5116 |
| PIVOT | 5179 | 5EMA | 5139 |
| HI EMA | 5171 | 10EMA | 5155 |
| LOW EMA | 5102 | 13EMA | 5164 |
| prev HI | 5207 | 20 Hr MA | 5126 |
| prev LOW | 5130 | 50 Hr MA | 5137 |
| 20 DMA | 5219 | 100 Hr MA | 5190 |
| 100 DMA | 5154 | 200 Hr MA | 5205 |
| 200 DMA | 5102 |
3 comments:
@ Atharva,
In the above pattern if the C goes upto the 113% retr. level of 5390 - 5400 and starts its downward journey - only then it can be termed as a Shark Pattern. Till then - Bullish Bat Pattern. Above 113% if still the upmove continues then it would be an ABCD pattern with AB = 4770 - 5349, BC - 5349 -5032, CD - 5032 - 5450- 5500++ levels.
@Satheesh,
GM !!
Thanks.Can I get these exact fibo for validation/invalidation for various SHM patterns..Hv you mentioned in any of your earlier post..If yest pls provide the link..It would be appreciated if you can furnish these fibo %
Thanking you & Best Regards,
@ Atharva,
http://www.harmonictrader.com/ - WEBSITE for Harmonic Patterns. Go to this site and in the menu choose patterns and shark from it. Fill up your mail ID details and you will recieve a writeup on shark patterns. About general Harmonic trading you also get a free PDF book by Scott Carney
Post a Comment