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Sunday, August 24, 2014

Nifty Astro Technicals August 25 to 28, 2014

I continue my preoccupation with the long term trend, especially since Nifty has moved into uncharted territory.Looking at the bullish alternative scenario, on a monthly scale,from January 2008, Nifty had been forming an ascending triangle with a horizontal bias.Interestingly b leg is less than a leg. In fact e<d<c<b<a. So it is a regular limiting triangle. As per pattern implication, the thrust out of the triangle has to be 100% of the largest leg + or - 25%.Largest leg is of a ( 6357-2253 = 4104).Range of the thrust then is between 4104x0.75+5119   and 4104x1.25+5119, which is between 8197 and  10249.
With the long term correction ending at 5119, then we are in an impulsive atmosphere, with the wave 3 currently in progress.



Looking at the 30 min chart, we are looking at a different triangle altogether..
Here the triangle is irregular, because wave b was larger than wave a.So the thrust could be 1.618 times the length of the largest leg of the triangle.This puts the tentative target for wave g ( Iam maintaining the diametric counts for the time being ) around 8200.




Now, last week it was observed that Nifty is operating through uptrend fractals-that is of late, the uptrends seem to be lasting for 8 to 10 days.Friday, August 22, marks the end of a 10 day period.So we may technically expect a correction ( b of g) this coming week, before Nifty turns up once more  to move towards 8200.    
Additionally Nifty 30 min has been forming a megaphone pattern..it is also called a broadening pattern.This has short term bearish implications.Nifty could correct to 7820 levels or even to 7700 levels before the final upward c commences.



Of course, these are just projections. We will only take a trade after the market moves into a direction.And protect our capital with adequate stop losses.






6 comments:

AAR VEE said...

Hi,

Pl update on any imp. Astro observation that you have for the coming week.

Thanks & Regards

Rajesh said...

Pl. correct the 61.8% by 161.8%.
Thanks

Tekkiesuresh said...

Hi AARVEE,
I have posted my Astro Observations.Please see.

Tekkiesuresh said...

Rajesh, thank you for pointing out the typo.I have since corrected it.

Suresh

AAR VEE said...

Thanks for your efforts

Regards

Madan said...

Hi,

Can you post the stochastic indicator

Thanks.

madan