Skip to main content

Bank Nifty for Week Starting Jan 30, 2017

For Last 2-3 weeks Bank Nifty shown very volatile moves. It moved up very fast from 18300 to 19250 level, corrected sharply to 18700 level and again sharply moved up to 19700. Let us analyze why it is moving in this manner!
The down move from 20300 terminated in ED (ED started from 19150-19200 level). the wave 5 was very short and hence I was not confident whether it was really ED? But post moves and specially the speed at which minor wave b & c of Major wave A completed confirms the same. Also minor wave a terminated where ED started. I mentioned about this ED might have started at 19130 level(as waves are very complex and not easy to identify) in EOD Dec 16 update.

Here I am posting Post ED moves analysis link:

We normally see that time taken by minor wave b is much less than impulsive minor wave a and minor impulsive wave c takes almost equal or less time than minor wave b. Also ratios exhibited by minor waves of A may be again repeated by Major waves of ABC pattern.

Wave    Price  Ratio(%)  Time(Days)    Ratio(%)  
A          
a 1445        12      
b 554      38.34 4     33.33    b/a
c 1073     74.26 4    33.33    c/a

Now wave A may still in progress and may complete around 19850/19950 zone. So as per Post ED move analysis, post completion of wave A, Index should fall sharply to 19000 level in next 2-3 days and complete corrective wave B in next 6-7 days. Post completion wave C should move up to target of 20400. 

Gann Levels

Also observe Index moved sharply from 17600 to 18300, 18300 to 19000 and again from 19000 to 19700. This is because 17600/18300/19000/19700 are 3 digit Gann nos. And sharp moves are due to Post ED waves. So break of 19700 tomorrow we may quickly see index at 19000 and then again breaking 19700 from down  index may reach sharply to 20400(3 digit Gann No).

Gann Time Analysis:

Jan 29 is 144th calendar day from top of Sep 7, 2016(Jan 29 is Sunday, so we consider Jan 30) and Jan 31 is 90th trading day from Top of Sep 22, 2016. So we may see a Minor Top on Jan 30/31 and may be some volatile movement in Bank Index.
Labels:

Comments

Post a Comment

Popular posts from this blog

Intraday Index Options Trading by Degree Gann Number System ! E-book available on Amazon - Download FREE!

  For the next 3-days, E-book is available FREE for download! Take advantage of this promotion. Requesting to write a review on amazon. Download link:- https:// amazon.in/dp/B09DHFS5KJ
Post a Comment
Read more

Nifty Time Cycles

The following chart shows various time cycles on Nifty. What Happened? In 2019, Gann 90 year cycle completed. This cycle comes from 1839 depression followed by 1929 depression. In Feb-2020, 20-year cycle completed from Feb 2000 Top In Jan-2020, 144-month cycle completed from Top made in Jan-2008 before the 2008 financial crisis In Dec-2019, 3-year cycle completed from Low made in Dec-2016 post Demonetisation So we saw a big fall as major cycles came together. What next for Nifty? In Oct-2020, 144-month cycle from Low made in Oct-2008 during the 2008 financial crisis, will complete In Nov-2020, 10-year cycle from Top made in Nov-2010 will complete In Dec-2020, 288-month cycle from Low made in Dec-1996 will complete In Feb-2020, 60-month cycle from Low made in Feb-2016 will complete In Feb-2020, 13-month cycle (it is observed Nifty makes Bottom from Top in 11-13 months) from Top made in Jan-2020 will complete In Sep-2021, 20-year cycle from Low made in Sep-200...
Post a Comment
Read more

VIX Analysis

The daily VIX chart shows the formation of Doji candles at the bottom and reversal. The daily RSI crossed the previous resistance level of 40. The MACD signal gave bullish crossover suggesting bullish move in VIX. So the daily chart shows the possibility of VIX moving towards 28 levels in the coming days. The weekly chart shows the formation of wedge and reversal from the bottom. VIX may move towards the upper wedge line @ 29-30. So VIX suggesting the bearish mood of the market and hence the high possibility of fall in Nifty-50 and Banknifty in the coming days/weeks. VIX Gann Box: The daily Gann Box shows a reversal from the mid-zone of time factor points. The next time factor date is Jul-21. So will VIX continue to move high till Jul-21 or it will reverse from angle point? Wait and watch. Using VIX to spot Intraday Reversal on Indices: VIX is a very useful indicator to spot reversal during day trade. If the price of an index moves up and @ resistance zone watch values of VIX. If VIX s...
Post a Comment
Read more