23 February 2017: Nifty Elliott wave analysis: Expiry day and Nifty may take a move towards 9000. Make or break???

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

23 February 2017: -

On 22 February 2017: FII Net Sold – 259.21 INR Crs:  DII Net Bought – INR – 917.97 Crs

We got close above 8900 and hence my expectation for 9000 is still on. Given chart has a triangle breakout on higher side. A rising wedge is usually dangerous but definitely not above the peak. It is a general sense that as long as it is above 8900 we can expect higher side. We have derivative expiry today so nothing can be firm.

For today’s trading I am expecting Nifty to open on flat to positive note with trading support at 8900-8880 levels. Well, it is a wild expectation that if we get short covering then Nifty can go on striking distance of 9000 levels. Global strength is a key factor. Almost all global market is firm and hence Indian market run. Take a note that one sided rise always contains a greater degree of risk. Let us see how expiry goes.

Warning sign must be here from February top. It may prove to be a counter trend rally on long term count.

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 March future – I hardly traded index this month. March future is expected to give 9000 mark today. I am definitely not going to be active for today also on index due to derivative expiry unless it gives short covering rise. Technical support is at 8930-8910 levels. Let us see if this can hit 9000 today or not.        

BANK NIFTY March future – We have reasons to expect 21000 levels right now. If it can sustain above 21000 then we can see some good move on higher side. If short covering moves comes then it must be more impressive than Nifty. If one wants to be active on long side then Bank Nifty may prove to be better instrument.