NIFTY RALLY MAY CONTINUE TO 5250 AND BEARS TO BE FRIED

NIFTY WAVE COUNT

Hi Friends,


The Current trend in Nifty which still strong and looks to be Bullish can get stretched to 5250 or even higher. The RSI is in overbought territory but still we cannot deny the possibility of this rally to get stretched to a no. such as 5250 or higher before fizzling out. 


Its still not clear whether it is a Bull or Bear Rally. But my analysis tells me though it looks to be Bull Rally it is actually an irregular flat corrective where c leg of B can get stretched to 5250 or higher. And then the final C leg may take Nifty to 4250.


So let this rally get stretched to 5250 and Bears get fried and thrown out of the system. Let Bulls & Bears get convinced that this is indeed a Bull Rally and create some Euphoria and trap Bulls then will be the time to short.


If we carefully look at the chart we can clearly identify that all the contra-trend moves (B or X leg) touched the upper end of the channel. So for me this seems to be over stretched corrective rally and move above 5100 to 5210 or 5250 or higher seems more of a Bull Trap.


The trend will reverse upon break below rising channel and shorts to be taken only after confirmation.


Though Nifty is not helping me to identify whether this is Bull or Bear Rally; Inter-Market Technical Analysis of Dollar Index, EUR/USD and US & Europe Indices are strongly indicating bearish reversal in Global Markets.. 


I have already posted Dow Jones chart.. Will add more Global Indices charts in some time..




Happy Minting..


Thanks & Regards,


Harsh Dixit.