18 January 2017: Nifty Elliott wave analysis: Down move will start only if it breaks 8360 levels. Market needs a desperate break!!!

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

18 January 2017: -

On 17 January 2017: FII Net Bought – 142.20 INR Crs:  DII Net Sold – INR – 607.23 Crs

My study remains same. Nifty hits a high around my suggested levels and goes down a little. Is it safer to short? Well, as long as it is above 8360 levels, I cannot say that this is down with firm mode. I can say that market should fall but I am not getting a good confirmation for fall. Global market is soft but Indian market hold current levels.

For today’s trading I am expecting resistance in the zone of 8428-8435 levels once again. This should be decisive. It needs to break below 8360 to say for confirm down move or you can say a profit taking. If it breaks 8360 then we can expect a fall towards 8300 levels.

This remains part of my article. We may be under bear market till 31^st March 2017 and what I am talking is a pullback of bear market on medium term wave count. Someone asked me if global market is up how can Indian market be down? Well, that’s the way and that’s what Elliott wave has convinced me.

I am just writing my view and I am least interested in learning or sharing so please do not make sure request.

Do not misinterpret. I gave a long term trend as down from more than a year back. Nifty hit 9119 and then I issued for a long term top. Nifty hits a low at 6825 on Budget day this year. After such down side, wave theory had suggested for comparable recovery with three big possibilities for retrenchments, first to come at 50% at 8000, 61.80% at 8250 and 76.40% at 8575.

101%, I retain my view for long term trend down but that does not says that we cannot interprets for short to medium term of recovery. This recovery was bound to come and it is coming to make a wave [B]. Now, just imagine the magnitude of wave [C]. Higher the retrenchment, bigger fall will hit in future. If this wave [B] tries to end up near 9000 then 9119 may not be visible for many years. So, where is my long term target on Nifty? Well, it is in the zone of 6000-5500.

Strategy for Nifty January future – It has slipped from higher levels but not down much as I was expecting. Technical support is at 8370-8360 levels. One must wait for this down break side to trade short.  If it does not then it can just move dull in this range. Let us see, if can give decisive move anytime now.

BANK NIFTY January future – I am keeping my analysis same for Bank Nifty. It went above 19000 with ease. Technical resistance will emerge at 19180-19200. There is no meaningful correction from past 1000 points of rise. Will it correct today? Let us see. It is not very easy to expect correction in the market which runs on optimism.