iCharts Discussions

[shekharinvest]

[AMBY]

THANKS FOR UPDATE.

[amitagg]

Shekar

Are u in some blog active of yours
Can say yes or no

Regards

[shekharinvest]

[shekharinvest]

National Aluminium chart is self explanotary. I have not written any commentary, hope who follows the Ewave theory understands.

Also note that govt is likely to come out with an OFS any time.

Happy Trading !
SHEKHAR

[shekharinvest]

Attached along is a Nifty hourly chart. One can wait for NIFTY to correct upto 8250 > 8180 to initiate fresh longs.

Happy Trading!
SHEKHAR

[vinay28]

[amitagg]

Stop loss as per EW can only be bottom of wave 1 - 7940. Yes Shekhar?
This pattern shall still support Inverse Head and Shoulder in making and seems quite reasonable. It ties with other harmonic projections to 8073 etc.
It also seems psychologically reasonable with undertone of bullishness still to give way.....
last time, Shekhar correctly predicted markets at 8900 when they were are 7800-8000.....and hit the near top.

[vinay28]

SL may be above 8561 or 60tf close above 8546?

[shekharinvest]

Amit, you are right SL for longs is below the start of wave 1.

Vinay you seems to be asking for SL for shorts for the ensuing wave c.


First the hypothesis.

A fresh impulsive wave has started from the low of 7940 and it has done a 5 wave move up i.e. wave 1 is done wave 2 to follow which generally retraces 62% of the move hence 8175. But often times wave 2 retraces merely 38% in the present case where I have marked end of wave a that is exactly 38% of the prior move probably the next wave 'the wave 3' has begun (only time will tell).

Since wave 2 retraces 62% generally hence I marked that point as 'a' and waiting for an up move as in wave 'b' to be followed be wave 'c'. Where the 'c' will end depends from where it starts.

Now wave 'b' can retrace by any amount say from 38% to 123% of wave 'a' leading upto as high as 8615. Wave 'b' are the treacherous waves difficult to predict may take any shape Zig Zag/Triangle/ Flat correction /Expanded Flat.

It is better to wait until some clarity develops. If we see sharp rise as in wave three time to long and if there is confusing move certainly wave 'b' is in play.

Going short with SL at 8561 is a legitimate trade for TGT of 62%, 100% or 162% of wave 'a' from whereever wave 'b' ends.

SHEKHAR

[vinay28]

many tks shekhar. yes I was asking SL for short. I am still long progressively booking my calls but I am thinking of shorting above 8540 with NS touching 8562 as SL. Obviously I don't understand EW.

tks again.

[shekharinvest]

Starting from the Low of 7548 on Dec 14, 2015. Wave 2 retraced exactly 62% and wave 3 stretched beyond 200% followed by wave 4 retracing 38% note here that two hourly candles had taken support at exactly at 38.2% line the next day price opened below 38% retrace and closed above 38% on hrly basis and therefrom began the wave 5. Generally there is only one extended wave in an impulse but here we are seeing an extension in wave 5 too.

Have a look on the subwaves of wave 5.
Wave ii is 62% and wave iv is little short of 38% retracement.
Wave iii is 162% of wave i
wave v has so far done 38% (62% comes at 8006) of o to iii at this point wave v is also approx 78% of wave i

The higher wave 5 has completed 78% of 0 to 3 and wave 5 is equal to 200% of wave 1

All the above fibo ratios and EW analysis point that possibly this up move has been done and now we can see a correction which can lead us to 7700. As there is no point of negation for this hypothesis and wave 5 may continue upwards as well, we may be somewhat sure of down move once low of wave iv is taken out which is at present at 7884, any pullback from there could be shorted with the high as SL.


Happy Trading !
SHEKHAR

[amitagg]

Thanks as always for the great refined analysis

Can there be extensions in both minor wave 3 of 3tf and 5tf wave simultaneously. Does smaller wave 1 and wave 2 qualify as impulse and correction by sub divisions . just a check . Not that I believe otherwise.

[rameshraja]

Hello shekhar

Please see the attached Nifty Spot Daily chart.. First Resistance around 8060 and if it manages to hold this, probably could move towards 8250 and stall around that Level.

C T RAMESH RAJA
SEBI RA REGD NO: INH200001673

[shekharinvest]