Hello Traders,
NIFTY50 has gaped to the upside on Monday's session. Most of the daily gains were caused by this gap and the day closed @ 19597! So, Future traders have done a good job and squeezed most of the shorties off the market!
The next day, a second gap occurred, but closed the day negative; and master-class...on Wednesday we have seen a wide range of roughly 120 points that day! I guess, a lot of longies have set their stop orders at these levels and were kicked-off the market! Overall to speak, longies and shorties have been squeezed off the market, and so we were ready to decline, what happened to the reminder of the week!
To my view, that was not all to the downside, and the coming week will bring more selling pressure to N50! I have marked my target-zone with the red rectangle on the chart and a break of 19381 will be a first fingertip for more bearish advances ahead! One target for this scenario is at or around 19236 range. More bearish potential exist!
From an EW-perspective to speak, we are probably moving within a w-x-y-x-z pattern what could take some time to be complete and be finished. A wave z of this pattern could morph into a triangle, and that would bring "time" to the market, to level out the increase over time! Time is a very important aspect at the EW theorie.
So, the path has been set for the coming days.
Have a great weekend.....
Ruebennase
Feel free to ask or comment!
Trading this analysis is at your own risk!
NIFTY50 has gaped to the upside on Monday's session. Most of the daily gains were caused by this gap and the day closed @ 19597! So, Future traders have done a good job and squeezed most of the shorties off the market!
The next day, a second gap occurred, but closed the day negative; and master-class...on Wednesday we have seen a wide range of roughly 120 points that day! I guess, a lot of longies have set their stop orders at these levels and were kicked-off the market! Overall to speak, longies and shorties have been squeezed off the market, and so we were ready to decline, what happened to the reminder of the week!
To my view, that was not all to the downside, and the coming week will bring more selling pressure to N50! I have marked my target-zone with the red rectangle on the chart and a break of 19381 will be a first fingertip for more bearish advances ahead! One target for this scenario is at or around 19236 range. More bearish potential exist!
From an EW-perspective to speak, we are probably moving within a w-x-y-x-z pattern what could take some time to be complete and be finished. A wave z of this pattern could morph into a triangle, and that would bring "time" to the market, to level out the increase over time! Time is a very important aspect at the EW theorie.
So, the path has been set for the coming days.
Have a great weekend.....
Ruebennase
Feel free to ask or comment!
Trading this analysis is at your own risk!