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Showing posts from October, 2013

MCX Copper in Double Correction

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 MCX Copper continuous hourly chart From the above chart, the red metal is moving in a lower high and lower low formation and it is precisely moving in a falling channel Recently the metal faced the resistance of the channel and has broken the support today which opens further negative possibilities. As per wave theory, prices are moving in double correction pattern as per the chart (a-b-c-x-a-b-c) After completing first correction, prices formed wave x close to 740 levels and now since all the important supports are broken it is very much evident that prices are poised to falter and can move below its previous low in form of wave a of second correction. The summation is prices are poised to plunge near till 680-670 levels as far as 733 is intact on the upside.

Identifying Zigzag Pattern

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The big picture of Elliot wave is a five wave structure followed by 3 wave structure. In this educational article we have tried to show our readers how simple zigzag pattern looks and what internal structures does it have? A zigzag pattern in Bull market has a 3 wave structure (a-b-c) in downside, as soon as the third wave is complete it will start its next leg on upside. The internal waves of each three wave are (5-3-5) which will complete one zigzag pattern. A zigzag pattern in a Bear market has a 3 wave structure (a-b-c) but here it is on the upside. Once the third leg on the upside is over it will start moving lower. The internal waves of each three leg are (5-3-5) which completes one Bear market zigzag pattern. It is occasionally observed that Zigzags occur twice or thrice at succession. This happens when one zigzag pattern falls short of its target. In this case each zigzag is separated by one more wave, after completing that wave again zigzag pattern will start w

IDBI: Channel Break out and Elliott Wave Counts

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IDBI Bank comes under the head of NSE Midcap 50. On Tuesday, NSE Midcap 50 was down by 1.46% which was the highest fall as compared to past 6 days of trading. On October 09, 2013 IDBI Bank offered Home loan and Auto loan on Base rate which is currently at 10.25%. It has also decided to waive the processing fee for both House loan and Auto loan during this period. All these factors indicate positivity for this stock, if this was the case why IDBI Bank could not perform? Using combination of simple technicals like channels, retracements etc and advance technicals like Elliott Wave counts we were very accurate in mentioning the level of IDBI Bank as it could move till 64-64.50. On Monday, 14 th October 2013 IDBI made a high of 64.50 and reversed. We have now further analyzed the movement of this stock using the combination of technical study IDBI 60 mins chart Analysis From the above 60 mins chart, we can say that IDBI bank has bounced from 58 odd levels and

Bank Nifty : Elliott Wave counts

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Bank Nifty : Anticipated Happened Bank Nifty showed some good strength especially when it crossed   9220 levels in the early October 2013.   Many of the analysts were negative on this index, but as soon as the important pivot high was crossed things changed. We had covered Bank Nifty in our daily research report “ The Equity Waves” publised on 11 th October 2013.   In which we had told to our subscribers the cluster of resistance where Bnak Nifty can reach in coming trading sessions. The below excerpt is been picked from our research report as on 11 th October 2013. Bank Nifty 120 mins chart Anticipated and Happened on 11 th October 2013 Analysis From 120 mins chart, the index after breaking the downward sloping red channel gave a bullish break and started moving up by protecting its previous lows which is a positive sign for this index. Currently, the index is moving precisely in an upward sloping black channel. 2 days prior it bounc

INFOSYS: Predicting Through Gaps Anticipated Happened

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Infosys Results were declared where its ' second quarter net profit grew 1.4 percent quarter-on-quarter (1.6 percent year-on-year) to Rs 2,407 crore for the quarter ended September 2013, impacted by one-time visa settlement charge of Rs 219 crore. Consolidated quarterly revenue jumped 15 percent sequentially (31.5 percent year-on-year) to Rs 12,965 crore, with the company attributing it to robust volume growth, stable pricing and strong client addition during the growth. The company, like most exporters, also benefitted from the weakness in the rupee during the quarter. The company said average rupee-dollar rate during the quarter was 62.77. After announcing the results the stock price of Infosys way up by 7.5% in the early hours of trade. All this was just because of good results or there was already a cause followed by its effect? On 3 rd of August 2013 we had published an article on Infosys: Predicting through Gaps in which we had mentioned, “ Prices have taken out