Elliott Wave Outlook and Trading Strategy of Bank Nifty for 07 December 2017 Onward

| December 7, 2017 | 0 Comments

Bank Nifty opened lower at 25066, registered high 25077 and declined back by more than 250 points to register low 24813 and finally closed 273 points down at 24851.

Yesterday, bounce towards 25217-25400 was expected and I also mentioned that if Bank Nifty will open below 25124 then it can decline further towards 25034. I also suggested Bank Nifty if decline near 24878 then risk can be taken again by Initiating longs using stoploss of 24877 expecting targets of 300-500 points which further can extend for new high.

Bank Nifty opened lower at 25066 (below 25124) and further declined till 24813 and finally closed at 24851. Stoploss of 24877 was triggered. Now, we need to analyze latest charts for next move.

This report is covering Bank Nifty move after 12 Oct 2017 from low 23611 and earlier wave counts are explained in my last previous analysis report Elliott Wave Outlook and Trading Strategy of Bank Nifty for 16 October 2017 Onward

Elliott wave counts of Bank Nifty on 5 Hourly chart

Elliott wave counts of Bank Nifty on 5 Hourly chart

This is 5 Hourly time bar chart of Bank Nifty covering move from low 23611.

It seems wave completed from 23611-24872 may be wave (A or 1), wave completed from 24872-23916 may be wave (B or 2) and wave completed from 23916-25953 may be wave (C or 3).

There are confusions on this chart because wave is overlapped and inner waves of (A or 1) are not clear. On the other hand, we are not clear if wave (B or 2) is Irregular Correction or not.

So, I am ignoring this chart for a while and will concentrate on the pattern of decline started from 25953 for short term moves. Now, we need to analyze the decline started from high 25953 on separate lowest possible time frame chart.

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 25953.

It seems wave completed from 25953-25797 may be wave (i), wave completed from 25797-25873 may be wave (ii), wave completed from 25873-24947 may be wave (iii), wave completed from 24947-25217 may be wave (iv) as Irregular Correction and wave (v) may be in progress from 25217.

Wave (v) already achieved its 38% projection placed at 24832 where as 61% placed at 24595 which may or may not achieve.

38% retracement of progress of wave (v) is placed at 24967 which is the immediate breakeven point on upside above which we can think about further bounce. And medium term breakeven point is 25217 (start of wave (v)).

Conclusion and Outlook:  

Outlook of Bank Nifty is still negative as long as trading below 24967. And on downside, the wave started from 25953 already achieved its minimum requirements after breaking below 24832 and next possible level is 24595.                                                                                                         

Generally, Bank Nifty if breaks above 24967 can bounce further towards 25217 and above. And 24595 is the general point from where a small or big bounce can be expected. Otherwise there is no sign of reversal because Bank Nifty closed near low of the day.

Trading Strategy:

It is very difficult to plan trades in these conditions because Option Premium is very high and stoploss is very big. But still if some wants to trade can trade with these conditions.

 

  1. Bank Nifty if breaks above 24967 then 24900 Call can be bought using stoploss of 24867 expecting minimum target 25200.
  2. Bank Nifty if decline towards 24600 then hedge trade can be initiate by “Buying Bank Nifty Dec Future and Selling 28 Dec 24600 Call” in equal quantity with stoploss below 24400.

Safe traders can wait for low risk trading opportunity.

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 and Trading Strategy of Bank Nifty for 07 November 2017 Onward
  2. Elliott Wave Targets of Bank Nifty for October 2017 Expiry
  3. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 16 October 2017 Onward
  4.  Bank Nifty can Bounce Above 25198 Again in Medium Term
  5.  Long Term And Short Term Elliott Wave Analysis Report of Bank Nifty for 14 August 2017 Onward
  6. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 27 July 2017 Onward
  7. Bank Nifty Can Bounce Sharply Towards 24437-24704 in Short Term
  8. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 14 July 2017 Onward
  9. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 07 July 2017 Onward
  10. Elliott Wave Analysis Report of Bank Nifty for 28 June 2017
  11. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 23 June 2017 Onward
  12. Bank Nifty can bounce further towards 23464-23587 in Coming Sessions

Contact me:

Email:  ewavinod@gmail.com

Call: 9796033671

WhatsApp: 9796033671

Websitewww.ewanalyst.com

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Category: Bank Nifty

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