Elliott Wave Analysis Updates of Bank Nifty for 5 Feb 2018 Onward

| February 5, 2018 | 0 Comments

Bank Nifty opened gap down at 27017 and declined further by more than 600 points to register low 26364 and finally closed 769 points down at 26451.

Friday, I had mentioned that one more bounce above 27652 was expected in coming days and 27046-26727 was support range on downside. I suggested buying Bank Nifty if get in 27046-27000 range with exact stoploss of 26967 expecting target 27652 in coming days.

Bank Nifty opened gap down and decline by 600 points, also broke medium term breakeven point 26727 and registered day’s low 26364. Stop loss of the trade suggested was triggered. Let’s have a fresh look at latest charts for further scenario.

This analysis report is covering bounce from 17606 which I am expecting as start of inner wave [3] in my last all time frames analysis report “Elliott Wave Analysis of Bank Nifty for All Time Frames as on 08 January 2018”

Elliott wave counts of Bank Nifty on Daily chart

Elliott wave counts of Bank Nifty on Daily chart

This is Daily time bar chart of Bank Nifty which I am expecting as start of wave [3].

It seems wave [i],[ii],[iii],[iv] may be completed till 23611 and wave [v] may be in progress from 23611.

Wave [v] achieved its 38% projection placed at 26511 whereas 61% projection placed at 28302 which may or may not achieve.

Within wave [v], it seems wave (1) may be completed at 25953, wave (2) may be completed at 24617 and wave (3) may be in progress from 24617.

Wave (3) achieved its 100% projection placed at 26959 whereas 161% is placed at 28406 which may or may not achieve. Bank Nifty achieved minimum 27652 till now.

Now, we need to analyze the progress of wave (3) started from low 24617 on separate lowest possible time frame chart to check its pattern.

Elliott wave counts of Bank Nifty on Hourly chart

Elliott wave counts of Bank Nifty on Hourly chart

This is Hourly time bar chart of Bank Nifty covering move from 24617 which is the start of wave (3) of wave [V] on the previous chart.

It seems wave completed from 24617-25780 may be wave (i), wave completed from 25780-25232 may be wave (ii), wave completed from 25232-27652 may be wave (iii) and wave (iv) may be in progress from 27652.

But wave (iv) retraced way deeper than 38% placed at 26727. Wave (iv) retracing more than normal is a point of confusion.

So, we need to concentrate and analyze the decline from all time high 27652 for time being to calculate short term levels.

Elliott wave counts of Bank Nifty on 15 Minute chart

Elliott wave counts of Bank Nifty on 15 Minute chart

This is 15 Minute time bar chart of Bank Nifty covering move from high 27652 which I marked as start of wave (iv) of (3) on the previous chart.

It seems wave completed from 27652-27116 may be wave (A or 1), wave completed from 27116-27613 may be wave (B or 2) as Irregular Correction and wave (C or 3) may be in progress from 27613.

Within wave (C or 3), it seems wave 1,2,3,4 may be completed till 26786 and wave 5 may be in progress from 26786.

Wave 5 achieved 38% projection placed at 26413 whereas 61% placed at 26184 which may or may not be achieved.

38% retracement of wave (C or 3) is placed at 26841 which can be referred as breakeven point on upside above which we can think about any upside reversal.

Conclusion and Outlook:

Bank Nifty broke medium term breakeven point 26727 and further declined till 26364 to register day’s low. Now, there is abnormality within the pattern I was expecting because of deeper than normal retracement.

The very short term wave (C or 3) already achieved minimum requirement after breaking below 26413 but further decline towards 26184 and below is also possible. 26841 is the immediate breakeven point on upside above which we can think of any upside reversal.

Trading Strategy:

The last downward wave already achieved its minimum requirement so fresh longs cannot be suggested unless we see any upside corrective pattern.

Breakeven point on upside is 26841 which is far away. So, we any upside trade can be planned after break above 26841 only after confirming the pattern.

Overall on safer side, we must wait for the stability and formation of small pattern to initiate fresh trade because breakeven range is bigger and we can’t calculate the stoploss.

But if still someone wants to take risk and trade then 26184 is the minor support on downside. Aggressive trader can buy Bank Nifty near this support with stoploss of 100 points expecting bounce of 250-400 point (23%-38% retracement). But this trade must be in light quantity and small traders must avoid it.

CLICK HERE to get Elliott Wave Analysis Reports of Bank Nifty Daily by Email with Expected outlook, Targets, Stoploss and Trading Strategies.

Also Read,

  1. Elliott Wave Outlook of Bank Nifty before 25 January 2018 Expiry
  2. Bank Nifty Can Bounce Towards 27055-27445 Before January 2018 Expiry
  3. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 18 January 2018 Onward
  4. Elliott Wave Analysis of Bank Nifty for All Time Frames as on 08 January 2018
  5. Bank Nifty can bounce above 25780 sharply in coming days
  6. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 07 December 2017 Onward
  7. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 07 November 2017 Onward
  8. Elliott Wave Targets of Bank Nifty for October 2017 Expiry
  9. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 16 October 2017 Onward
  10.  Bank Nifty can Bounce Above 25198 Again in Medium Term
  11.  Long Term And Short Term Elliott Wave Analysis Report of Bank Nifty for 14 August 2017 Onward
  12. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 27 July 2017 Onward
  13. Bank Nifty Can Bounce Sharply Towards 24437-24704 in Short Term
  14. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 14 July 2017 Onward
  15. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 07 July 2017 Onward
  16. Elliott Wave Analysis Report of Bank Nifty for 28 June 2017
  17. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 23 June 2017 Onward
  18. Bank Nifty can bounce further towards 23464-23587 in Coming Session

Contact me:

Emailewavinod@gmail.com

Call: 9796033671

WhatsApp: 9796033671

Website: www.ewanalyst.com

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Category: Bank Nifty

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