Nifty-EOD Chart(08-Jul-2011):-
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Correction begun on 08-01-2008 from 6357.10 and Indian markets crashed in mid-Jan 2008. Correction completed in 5 waves on 27-10-2008 at 2252 and Bullish moves started in March 2009 after 5 months narrow range market. Waves structure of of ongoing up trend is as follows;-
1- 1st impulsive wave begun on 27-10-2008 from 2252
2- 2nd corrective wave begun on 12-06-2009 from 4693
3- 3rd impulsive wave begun on 13-07-2009 from 3919
4- 4th corrective wave begun on 05-11-2010 from 6338(2419 Points rally of Wave-3)
5- 5th impulsive wave begun on 11-02-2011 from 5178(1160 Points correction of Wave-4)
Conclusions
5th impulsive wave begun on 11-02-2011 from 5178 and Nifty is trading above rising trend line of Wave-5 and also sustained above 200-Day EMA in previous week therefore Wave-5 and up trend is intact.
Above waves structure and 5th impulsive wave formation has been posted more than 5 times in previous months and as soon as we got first indication of consolidation on 22/23-06-2011 near 5270 then we started to tell only for up moves and non stop updated only positive moves because Nifty got support above 5178 and it was strong indication 5th impulsive wave survival.
Technicallly strong positive formations,patterns and developments are as follows:-
1- Nifty crossed and sustained above 39 sessions range bound(5329-5604) moves.
2- Nifty sustained above strong resistance of 5600.
3- Nifty sustained above 200-Day EMA.
4- Forceful moves and Nifty crossed 39 seesions range in only 5 sessions.
5th Wave is continued and Nifty sustained above 200-Day EMA,until these 2 lines are intact till then view will remin bullish despite whatsoever Greece problems,European issues,RBI credit policy,inflation and FIIs positions.
Indian markets are in up trend in long charts and 5th wave is intact therefore Indian markets are having potential and strength to form new high new high above 6357.10.
Larger views and analysis have been discussed above. Intermediate/Short term and micro analysis will be will be updated before Monday market.