The 'M' is clearly visible along with HS pattern......Theoretically, this is a bearish pattern and the 'M' can stop at any level......maybe at previous lows, maybe below that, maybe somewhere in between or maybe here only.....
Nifty spot and NF both have long term support lines around 2700 (+/-)......
Again, since Jan falls, Nifty have completed the 5th downwave in the parallel downchannel......Currently, though the immediate trend is negative and the 5th wave within the last major down leg is yet to be completed, much depends on how this wave behaves......If this subsides around 2700 or before the previous lows with low volume, then we can sort of confirm the bottom in place.....
On the other hand, Dow has almost touched its previous lows as I write, which can lead to an immediate bounceback.......if this sustains before US close trade tonight, then there is a huge probability of Nifty taking support before reaching the longterm 2700 zone.....That should, in the scenario, mean the a bottom confirmation and a consolidation between the zone of 2900 and 3500......
Traders should take positions accordingly......
Nifty spot and NF both have long term support lines around 2700 (+/-)......
Again, since Jan falls, Nifty have completed the 5th downwave in the parallel downchannel......Currently, though the immediate trend is negative and the 5th wave within the last major down leg is yet to be completed, much depends on how this wave behaves......If this subsides around 2700 or before the previous lows with low volume, then we can sort of confirm the bottom in place.....
On the other hand, Dow has almost touched its previous lows as I write, which can lead to an immediate bounceback.......if this sustains before US close trade tonight, then there is a huge probability of Nifty taking support before reaching the longterm 2700 zone.....That should, in the scenario, mean the a bottom confirmation and a consolidation between the zone of 2900 and 3500......
Traders should take positions accordingly......
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