Elliott wave theory: I need to draw your attention
towards a fact that a wave cannot said to be violated as long as it remains in
the channel formed by corrective wave ‘2’. So, very clearly weekly wave trend
is up. Now, we left with a possibility of forming top sooner.
Market cycle: We saw four weeks of back to back
rise. Last time we saw five week gain was in May 2013. We all know what has
happened after that. We saw more than
1000 points of correction.
Technical indicators: MACD and RSI are growing with
negative divergence. This is alarming. This is prime reason that I am advising
strong caution.
Charting pattern: I always listen this factor and try
to gives higher weightage as its only and only price which pays in market.
Charts are saying that as long we are above 7860-8000, we are bound to see
higher levels. Above 8150, it can see levels of 8240 before forming any final
top.
No comments:
Post a Comment