Levels will confirm Pull Back relief rally for testing 11000
Technical Analysis,Research & Weekly Outlook
(Aug 26 to Aug 30,2019)
Nifty-EOD Chart Analysis(Corrective Waves)
Nifty-EOD Chart (23-Aug-2019):- |
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1- Impulsive Wave-5 completion after life time top formation at 12103.00 on 03-06-2019 and corrective Wave-A of "ABC" correction beginning
2- Corrective Wave-A continuation with recent bottom formation at 10637.15 on 23-08-2019
3- Long Term Trend turning down confirmations through last 17 Sessions closing below Long Term Trend decider 200-Day SMA(today at 11196)
Nifty-Last 2 Sessions intraday charts analysis
Nifty-Intra Day Chart (Aug 23 & Aug 24,2019) |
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1- Selling between 10815-10890(Immediate Resistances) on 22-08-2019
2- Follow up selling in last hours on 22-08-2019
3- firstly 104 points sharp fall in first 30 minutes on 23-08-2019
4- Up moves with consolidation on 23-08-2019
5- Consolidation between 10728-10792(Immediate Supports) on 23-08-2019
6- Consolidation between 10801-10860(Immediate Supports) on 23-08-2019
7- 2 Sessions actual trading between 10638-10908
Conclusions (After Putting All Studies Together)
Corrective Wave-A of "ABC" correction is very much on after Impulsive Wave-5 completion at 12103.00 on 03-06-2019. As during on going correction Nifty has closed 17 sessions below Long Term Trend decider 200-Day SMA(today at 11196) therefore Long Term Trend turning down 100% confirmation which means that correction will remain continued in the next months or may be year also.
Now Wave-A of "ABC" correction continuation and finally Wave-C will slip below the bottom of Wave-A also but between these 2 waves Wave-B will also develop which will move up but not cross the top of Wave-5(12103)
Following lines with levels were updated on 03-08-2019 in "11080 will confirm only a strong Pull Back Rally amid finally correction continuation expectations":-
Corrective Wave-A of that 5 Waves rally is very much on which started from 6825.80 on 29-02-2016 and finished at 12103.00 on 03-06-2019 after gaining 5278 points in 27 months and Nifty will correct whole this rally points-wise and time-wise.
Fibonacci Retracement levels of Wave-1 to Wave-5(6825-12103) are as follows which were updated in 2 previous Weekly Outlooks also:-
1- 13.0%-11,416(Retraced)
2- 23.6%-10,857(Retraced)
3- 27.0%-10,677
4- 38.2%-10,086(Crucial)
5- 50.0%-9,464(Crucial)
6- 61.8%-8,841(Crucial)
7- 70.7%-8,371
8- 76.4%-8,070
9- 78.6%-7,954
10-88.6%-7,426
Next supports of Nifty are as follows:-
1- 10583-10694(strong)
2- 10540-10567
3- 10468-10494
4- 10347-10405
Next resistances of Nifty are as follows:-
1- 11086-11145
2- 11270-11361
3- 11467-11493
4- 11511-11543
5- 11637-11700
Expected that on going correction will stay long within above mentioned 1st supports(10583-10694) because multiple supports are lying between and just below it as well as 27.0% retracement levels is also within it at 10,677.
Strong supports were told between 10583-10694 on 03-08-2019 and Nifty jumped 225 points on 23-08-2019 after forming bottom within this range at 10637.15.
Although good selling on 22-08-2019 but equally good consolidation also on 23-08-2019 and 225 points like sharp rally was also seen after getting supports within strong supports(10583-10694) therefore if follow up consolidation develop in the beginning of next week then Pull Back relief rally will be seen for testing 11000 because next resistances above 10890 after are lying near about 11000.