Nifty drifted down today.Not able to hold on to gains posted on Friday,Nifty traded down the whole day with low volumes.Important points for today
1.Nifty down by 0.4% with 1.0 breadth.
2. Either 43rd day of rally from feb6th or 3rd day of downturn.
I am still not clear whether the current move be taken as beginning of correction or this is wave4/wave5 daily.Let us wait few more days to get clarity.
One important observation is that Nifty has closed above the Jan high weekly closing(5252) for 4 consecutive weeks(5262->5282->5290->5361).But the Intraday high in these 4 weeks is only 99 points(5399-5309).
One thing can be inferred from this is that Nifty lacks the momentum above 5250 and is Just dragging bit higher.We are closer to correction.This correction now can have 2 Options:
i)Nifty undergoing correction of 725 points and remain in the bull trend and takes higher levels.
ii)Nifty has made/making bull market top here and will make a big drop(>= 20%) from here signalling the beginning of WaveC of the bear market.
Monthly chart shows that Nifty's Wave5 is in progress,so we may be heading towards ii) scenario(?..).
Let us see how things turn up in next few days.
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