Nifty opened higher at 11185 and bounced further to register day’s high 11256 but decline back sharply by more than 120 points to register low 11127. Nifty bounced back from 11127 again and closed 98 points up at 11200.
Yesterday, intraday bounce towards 11196-11225 was expected after break above 11133 which further could extend towards 11341 in coming sessions. Trading Strategy was to Buy Nifty at 11135 with stoploss of 30 points for targets 11196-11225.
Nifty broke 11133 and achieved targets 11196-11225. Later fresh levels and outlook was updated during market hours twice which worked perfectly well. In last update, Nifty was expected to bounce towards 11226-11256 after trading above 11165 for more than 15 minutes. Now, let’s have a fresh look at latest charts for further scenario.
This Analysis report is covering Elliott Wave Analysis of Nifty on 15 Minutes and 5 Minutes chart only. Refer previous analysis report for Analysis on all time frames. Link to last analysis report is https://www.sweeglu.com/nifty-trading-strategy-for-03-aug-2020-based-on-elliott-wave-analysis/
This is 15 minutes time bar chart of Nifty covering move after 11232 which I am expecting as start of Irregular Correction.
There is possibility of Irregular Correction after 11232 with inner wave [A] completed from 11232-11057, irregular wave [B] completed from 11057-11341 and wave [C] completed from 11341-10882. If this is really an Irregular Correction completed at 10882 then Nifty can bounce sharply above 11341 again.
It is tough to count inner waves of the bounce from 10882-11256 but if Nifty has to bounce above 11341 then 23%-38% retracement of this whole bounce can be assumed as support. 23%-38% retracement of this whole bounce (from 10882-11256) is placed at 11167-11113.
Now, let’s have a separate look at decline after today’s high 11256 to check its pattern.
This is 5 minutes time bar chart of Nifty covering decline after 11256 which I am analysing independently.
The decline from 11225-11064 looks like (abc) corrective wave and 23%-38% retracement of wave (c) (11150-11165) is also broken. Break above 11165 is indicating bounce towards 11226-11256 with 11165-11150 as support.
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