Morning !
Since my last post on 26th May 2016 about breaking 7940 on upside and giving confidence for making / reaching new high above 7992 and achieving levels mentioned 8000-8050-8150-8250. All have been achieved from 27th May till till 3rd June where NIFTY has made 8262 as top.
As per the calculation this current uptick should not surpass 8265 (which it has almost reached by making 8262).
There seems to be a correction pending now, a major or minor one that will be decided once some key levels break like 7940 on downside.
One can crate a short here SPOT LEVELS: 8250-8230 range with an SL of 8350 and a target of 8000 so almost as 1:2 risk reward ratio.....100-120 points stop loss and 200-250 points target.
The wave structure somehow looks incomplete on the upside, that is only decided till the time we hold 7980 in this fall.
Regarding banknifty, upside for me was till 17400-17500, which it has already surpassed by almost 200 to
300 points by making a high of 17762 on 3rd June 2016 Friday.
BANKNIFTY too can be sold here with a SL of 17750 SPOT level and target of 17350 and 17100. Risk reward ratio here is almost 1:4 or 1:6, 100 points SL and 400-600 points target.
Happy Trading !
PS: I usually post on achievement of certain important levels, both on upside and downside. If anyone has queries then i frequently respond to the posts on my blog.
Since my last post on 26th May 2016 about breaking 7940 on upside and giving confidence for making / reaching new high above 7992 and achieving levels mentioned 8000-8050-8150-8250. All have been achieved from 27th May till till 3rd June where NIFTY has made 8262 as top.
As per the calculation this current uptick should not surpass 8265 (which it has almost reached by making 8262).
There seems to be a correction pending now, a major or minor one that will be decided once some key levels break like 7940 on downside.
One can crate a short here SPOT LEVELS: 8250-8230 range with an SL of 8350 and a target of 8000 so almost as 1:2 risk reward ratio.....100-120 points stop loss and 200-250 points target.
The wave structure somehow looks incomplete on the upside, that is only decided till the time we hold 7980 in this fall.
Regarding banknifty, upside for me was till 17400-17500, which it has already surpassed by almost 200 to
300 points by making a high of 17762 on 3rd June 2016 Friday.
BANKNIFTY too can be sold here with a SL of 17750 SPOT level and target of 17350 and 17100. Risk reward ratio here is almost 1:4 or 1:6, 100 points SL and 400-600 points target.
Happy Trading !
PS: I usually post on achievement of certain important levels, both on upside and downside. If anyone has queries then i frequently respond to the posts on my blog.
Abhishek Bro - thanks for your valuable inputs. I did not get this line that wave structure looks incomplete. Do you still see more upside ??
ReplyDeleteAlso, I am holding bank nifty shorts @ 17300 level.... Do you see this going below that level. Pls advise?
Also, if possible could guide me on Yes Bank as well ??
Regards - Saurabh
Saurabh: Yes, as of now i am waiting for the wave structure to be more clear.....8265 is a very key level on spot....a break above this can trigger further upside....and for banknifty yes 17300 on spot looks a level achievable within this week...looking at the RBI policy tomorrow acting as a trigger for banknifty's movement on downside as both the indices are showing overbought levels on RSI.
DeleteSaurabh: Yes, as of now i am waiting for the wave structure to be more clear.....8265 is a very key level on spot....a break above this can trigger further upside....and for banknifty yes 17300 on spot looks a level achievable within this week...looking at the RBI policy tomorrow acting as a trigger for banknifty's movement on downside as both the indices are showing overbought levels on RSI.
DeleteThank you so much. I will keep an eye on that level, do you suggest any SL for bank nifty then ??
DeleteAlso, I am holding Yes Bank Shorts @ 1020 level...what is ur view on this ?? Thanks
Hi Abhishek, please advise over Yes bank as well once u get time. Thanks
ReplyDeleteSaurabh Sateeja: YESBANK is at an RSI of 79.12 as per yesterday's closing, though stocks have the tendency to go to even 90 RSI and still make higher highs, also YESBANK is trading in a channel since 25th February 2016 from 666.60 price any significant low below or close below the zone of 1030-1045 SPOT levels in the coming 1 week will trigger a downfall till 910 and on upside a the zone of 1110 will act as a resistance in the coming week.Also, as per the wave counts the channel from 25th Feb looks like a 3rd wave, the completion of it will only be witnessed ones it is exhausted and breaks the zone of 1030-1045 in coming 1 week and go for 910. Today being RBI policy and YES BANK being a banking stock, would be in high action, so placing a stop loss today might get triggered, i would suggest you buy some calls to hedge your short position.
DeleteGood evening sir,just saw ur update.sir holding short in nifty @7880 n waiting.do u think I can get d exit n how much more upside do u c if 8265 is broken on upside??
ReplyDeleteGinni: The sell call given by me has a risk reward ratio of 1:2 so once 8265 is broken on upside the SL is 85 points above that at 8350. Trade accordingly, for your shorts made at 7880 i would suggest you to maintain the stop loss given and buy some calls so that your short position does not remains naked, if at all the market moves up.
DeleteAbhishek sir, SL for nifty shorts is 8350, what will be the upper target Incase nifty passes 8350?
ReplyDeleteARUN VIJAYAN: yes SL for nifty shorts made in zone of 8220-8250 is 8350 and once the SL is triggered then we are out of the position. If that happens then will have to re-calculate new levels on upside, remember this wave from 6825 is an impulsive wave and estimating the top of the same is really not possible, so once the short of risk reward ratio of 1:2 triggers the SL then i will prefer to stay out and wait to re-enter after revisiting my analysis.
DeleteNifty 8350 BNF 17900 after that only down trend. Pls do remember History has RSI 75 and above for both index
ReplyDeleteManigandan K: Good to see you on my blog almost after 2 months from WhatsApp. Anyways, you know me that i don't debate with anyone on their analysis. I have given sell calls for both NIFTY and BANKNIFTY and there are definite strict SLs for both of the calls, once it gets triggered then you are out. I like to keep it simple.
DeleteHello Abhi bhai, hope you are doing good. I'm not debating here. Just shared my view and it occurred and crossed above 17900.i always respect your views.
DeleteHello Abhi bhai, hope you are doing good. I'm not debating here. Just shared my view and it occurred and crossed above 17900.i always respect your views.
DeleteHi Abhishek, What is your view on Bank Nifty now ?
ReplyDeleteAbhishek bro, Nifty is above 8200 but RSI is 63.4 now. What's next??? Plz help to provide ur view.
ReplyDelete