Elliott Wave Outlook and Trading Strategy of Bank Nifty for 22 September 2017 Onward

| September 22, 2017 | 0 Comments

Bank Nifty opened lower at 24934 and bounced to register high 24992 but declined back by more than 250 points to register low 24706 and finally closed 165 points at 24799.

Yesterday, bounce above 25105 was expected and I suggested holding Bank Nifty longs taken in 25000-24977 range with same stoploss of 24937 expecting target 24105 which further can extend towards 25187. Stoploss of 24937 was triggered at opening and Bank Nifty declined further below medium term breakeven point to register low 24706. Now, we need to analyze latest chart to find next move.

This report is covering Bank Nifty move after 02 August 2017 high 25198 and earlier wave counts are explained in my last previous analysis report Long Term and Short Term Elliott Wave Analysis Report of Bank Nifty for 14 August 2017 Onward

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 all time high 25198 which I am expecting as start of corrective pattern.

It seems an impulse is already completed from 25198-23852 as marked on chart and this impulse can be wave (A) of correction and wave (B) may be completed at 25105 or still in progress. But wave (B) already achieved normal 61% retracement after breaking above 24683 and retraced more than 78% which is point to keep in mind.

And within wave (B), it seems wave completed from 23852-24494 may be wave (a), wave completed from 24494-24151 may be wave (b) and wave (c) may be completed at 25105 or still in progress.

100% projection for bigger wave (C) is placed at 23759 which is the possible target for completion of wave (C) if wave (B) is really completed at 25105.

Now, we need to analyze decline from 25105 on separate lowest possible time frame chart.

Elliott Wave Counts of Bank Nifty on 5 Minute Chart

                     Elliott Wave Counts of Bank Nifty on 5 Minute Chart

This is 5 min time bar chart of Bank Nifty covering move from high 25105.

It seems wave completed from 25105-24993 may be wave [1], wave completed from 24993-25103 may be wave [2] and wave completed from 25103-24706 may be wave [3], wave completed from 24706-24862 may be wave [4] and wave [5] may be in progress from 24862.

End of wave [3] is 24706 and 61%-100% projection for wave [5] is placed at 24615-24463. So, 24706-24615 is the possible target range on downside if wave [4] is really completed at 24862.

38% retracement of wave [4] is placed at 24857 which can be referred as breakeven point and same can be used as stoploss for any shorts.

Conclusion and Outlook

Bank Nifty broke medium term breakeven point 24740 and decline till 24706. Now, Bank Nifty still has possibility to decline further towards 24706 which can extend towards 24615-24463.

And 24857 is the breakeven point above which we can expect further bounce, and same can be used as stoploss for any shorts.

Trading Strategy:

  1. Bank Nifty can be sold in 24799-24857 range using stoploss of 24867 expecting downward targets 24706-24615.

 

  1. Bank Nifty if even touch 24867 then 24700 Sep Call can be bought using stoploss of 24799 expecting upside targets 25000-25198.

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Also Read,

  1. Long Term And Short Term Elliott Wave Analysis Report of Bank Nifty for 14 August 2017 Onward
  2. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 27 July 2017 Onward
  3. Bank Nifty Can Bounce Sharply Towards 24437-24704 in Short Term
  4. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 14 July 2017 Onward
  5. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 07 July 2017 Onward
  6. Elliott Wave Analysis Report of Bank Nifty for 28 June 2017
  7. Elliott Wave Outlook and Trading Strategy of Bank Nifty for 23 June 2017 Onward
  8. Bank Nifty can bounce further towards 23464-23587 in Coming Sessions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Category: Bank Nifty

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