NIfty Long Term Elliott Wave Analysis

On special demand of our blog readers, we are back today with Long Term Elliott Wave analysis of Nifty.

If you are new to EW Analysis then please go thorough the link before proceeding further so as to learn about basic concepts of Elliott Wave Theory

http://stockcharts.com/school/doku.php?id=chart_school:market_analysis:elliott_wave_theory

Done with the basic knowledge? Now check out the chart above once again, here are the explanations of various waves and subwaves:

EW 1 - From Mid 2003 to 2007 End
Levels - 927 to 6347

EW2- From 2008 to Mid 2009
Levels - 6347 to 2232 (64.83% Retracement)

EW3- From Mid 2009 to Present
Levels-  2232 to 9119 (in progress)

Subwaves of EW3

Subwave 1 of EW3- 2008 end to 2010 end
Levels- 2500 to 6300

Subwave 2 of EW3-  2010 end to 2011 end
Levels- 6300 to 4500

Subwave 3 of EW3- 2011 end to 2015 beginning
Levels- 4500 to 9100



Why We Feel that Subwave 3 Has been Completed?






















Nifty was moving in a bullish channel upwards since June last year which was earlier revealed in our post Channel Play In Nifty but this time two things catched our attention :

1) Nifty reversed without touching the upper channel, and when it came down the second attempt to move towards the channel failed

2) And then In Last Month Lower Support of the channel got broken

So, these things have made us feel the subwave 3 of  Ew3 is over.


What's Next?

Now, question arises what's next. So, as we now every rally is followed by a correction so the possible Fibonacci retracements now are as under-

1) 26.8%- 26.8% of subwave 3 = 26.8% of (9100-4500) = 1232.8 from high of 9100 = 7867.2

2) 38.2%- 38.2% of subwave 3 = 38.2% of (9100-4500) = 1757.2 from high of 9100 = 7342.8

3) 50%- 50% of subwave 3 = 50% of (9100-4500) = 2300 from high of 9100 = 6800

4) 61.8% - 61.8% of subwave 3 = 61.8% of (9100-4500) = 2842 from high of 9100 = 6257


Also check out our free automated trading calculators

The Channel Lines


All comments/ queries are welcome
The Stock King



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10 comments

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babab
AUTHOR
May 13, 2015 at 3:57 AM delete

Abhishek Bro, This is an excellent analysis and am really impressed with this analysis. Thanks for highlighting this and helping all of us.

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SauriN PateL
AUTHOR
May 17, 2015 at 4:25 PM delete

Can I buy triveni turbine? ? Whats your target in medium to long turm??

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May 17, 2015 at 6:16 PM delete

triveni looks good to me can be added with 107 stop loss................... regards

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May 27, 2015 at 2:06 PM delete

It is an enormously inspiring post .I is totally pleased by your excellent work. It contains really very useful information. Looking forward for your next post.!!!!!
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Aditya
AUTHOR
June 10, 2015 at 10:34 PM delete

Sir I hv 7900 put of nifty@74Rs. Wat should I do ?

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Anonymous
AUTHOR
June 14, 2015 at 1:28 AM delete

Friday I bought 7700put at low point wht abt tht?

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June 14, 2015 at 8:16 AM delete

book your puts on monday as a short upward pull back is due in nifty now, also i would advice not to hold options over weekend as it leads to time decay

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Madhuri
AUTHOR
February 3, 2017 at 12:48 PM delete

Nice post, would be very useful for the traders and investors in share and commodity market, Equity Tips Provider

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