IN MY EARLIER POST I HAD WRITTEN THAT NIFTY MAY TOUCH UPTO 5950 TILL DIWALI BUT IT DIDN'T HAPPEN AND NIFTY SPEND MORE TIME IN CONSOLIDATION IN WAVE FOUR THEN WAVE THREE. GENERALLY IT HAPPENS AND WAVE 4 TAKE MORE TIME THEN WAVE 3. AND IT IS GOING TO PERFORM A FLAT CONSOLIDATION PATTERN IN WAVE 4. SHORT TERM BULLS TRADERS WERE TRAPPED AFTER BREAKING OF NIFTY TRAINGAL AND CONSOLIDATION RANGE ABOVE 5727. ACCORDING TO E. WAVE RULES IF WAVE 2 CORRECT 50 % THEN WAVE 4 WILL CORRECT 38.2% AND IF WAVE 2 CORRECT 38.2% THEN WAVE 4 CORRECT 50%.
AS YOU CLEARLY SEE IN THE CHART BELOW THAT NIFTY HAS CORRECTED ALREADY 50% IN WAVE 2 SO I EXPECT THAT WAVE 4 CORRECTION SHOULD NOT BE MORE THEN 38.2% LEVEL WHICH IS AROUND 5585. NIFTY WILL ALSO FACE A STRONG CHANNEL SUPPORT AROUND THAT ZONE ALSO. NIFTY 5600 PUT STANDING WITH HIGHEST OPEN INTEREST SUPPORTING THIS WAVE COUNT VIEW ALSO.
SO IF MARKET COME AROUND THIS LEVEL IT WILL GOOD BUYING OPPORTUNITY.
FEW DAYS BACK I RECOMMENDED TWO STOCKS FOR THE STOCKS LOVER. TATA STEEL AND IDBI BANK. BOTH STOCKS PRICE ARE ATTRACTING BULLS. GRAB THESE STOCKS AND HOLD FOR 20 DAYS FOR GOOD RETURN IN SHORT TERM.
