Wednesday, 13 June 2012

13 June12: Nifty Elliott wave Analysis: Crossover of 5125 is giving a hint for 5176. Will it come or not? Trading support is at 5099-5074. Rising market will be tougher to trade.


You must read previous articles and watch above chart carefully to understand this article completely.

I have stated that as long it is saving 4989, we can hope for recovery and it came. Well, but it came more than what I was expecting. I was not expecting a cross of 5099 levels but it did and for few seconds only but it has crossed 5125 also.

Hence, purely based on charting principles we may see the levels of 5176. I must say that we are heading towards top of this rally and so one resistance must fail to cross. Now, it is a different question that which one is going to fail. It was supposed to be 5125 but now it seems that we are one step ahead. So my call is -


Nifty should advance towards 5176 if trades sustain above 5125. I need to move one step ahead also; if it crosses 5176 then it may try to move above 5200 too.  

I am sure for one thing that a rising market will have very limited trading opportunity. Here are two important conclusions for today.

5176 = I have mentioned earlier also. Take a fall from 5040 to 4770. If you take 1.618 times from 4770, it will come at 5176

200 DMA = It is very unnoticed fact that 200 DMA has a rising trajectory since 5th June 2012 and it is happening first time since 24 May 2011. Yes, it has not happen even in January – February 2012 rise. Exact 200 DMA is @ 5067.80 as of yesterday’s close.  

As of now charts are suggesting for a rise but those may not be simple. As I quoted in my yesterday’s intraday updates, l like to miss fewer points of rise now in order to avoid a bulls trap.

Depending on market condition we will release intraday updates too. Till that time, you can post your views also so that I can present better result for you. Intraday posts are available on www.viecapital.com only.

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Thanks & Regards,
Praveen Kumar
Mobile number – 09893369889 


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