Bank Nifty Ahead of Fed Rate Decision!

Bank Nifty behaved exactly as I expected today, but took much more time to complete minor wave "c" of b. Yesterday I mentioned "Minor "c" wave may get complete tomorrow morning (probably with gap down) around 18300 level. And then we may see wave c of complex correction on upside." The market is not moving much as it is waiting to get over uncertainty of Fed rate and Fed commentary on future outlook.

If wave b is completed at 18325, then tomorrow Bank Nifty will move upside in wave c and we may have GAP UP, as that is the personality of wave c(Even if it is in wedge/triangle). Index closed above support of 18300, hence Gap Up possibility! The impact of Fed decision will be already clear in the morning and market will react to it in opening itself. If market moves down then we may see different pattern to emerge. If 18300/18280 is broken, we may see 18150/18000.

Tomorrow is weekly expiry for Bank Nifty. But I do not expect it to be volatile as major uncertainty will be over after Fed rate decision and it will take decisive direction.

What if Fed surprises with no rate cut? Chances are remote, but could not be ruled out entirely. That will be interesting scenario!

Latest Update: 00.35AM: US FED increased rate as expected and US markets inched higher!

Comments

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