Market Analysis With Megh Mody

MCX Copper Daily Continuous MCX Copper has started to plunge once it discontinued the higher high and higher low formation which eventually broke the rising channel as well. Prices recently made a low of 402 and turned its direction up till 434 levels. Interestingly, the up move was very slow and the weekly candle has formed a bearish candle. This indicates, that prices will fail to cross 439 levels and will turn down in coming week. As per wave theory, the red metal has formed a counter trend after the fall from the high of 493 to 402.  Now after completing wave i and wave ii on the downside, I am expecting prices will plummet near till 395-390 levels in form of wave iii. In short, the bias is firmly negative for Copper as it is expected to test 395-390 levels in near to medium term. Learn Elliott Wave and Neo Wave to forecast prices in various asset classes. Subscribe to a two day paid online webinar which will help you to learn in dept analysis of price along with t

Yes Bank Daily chart From the above chart, Yes Bank is tumbling aggressively esp after discontinuing the higher high and higher low pattern, thus opening negative possibility. It is now likely that the stock is likely to fall further close to the Fibonacci levels. As per wave theory, I have marked wave A as a flat and wave B as a complex correction and as a whole A and wave B is an irregular flat pattern. So on the downside wave C has already started which can drag prices lower till 305 levels (100% of wave A to wave B). The bias is firmly negative for Yes Bank and can test the level of 305 in near term. Learn Elliott Wave and Neo Wave to forecast prices in various asset classes. Subscribe to a two day paid online webinar which will help you to learn in dept analysis of price along with time. The price for the webinar will be 10000/- for two days. To book the seats mail to meghmody@gmail.com   

EURUSD Daily chart In my previous update of EURUSD dated 15th July 2018, I had mentioned, " In short, expect prices to stumble close to 1.150 in near term." The single currency made a low of 1.130 and showed signs of reversal- Anticipated Happened EURUSD made a triangle pattern which can termed as a continuation pattern before diving till 1.130 levels. The entire down move is been marked as an impulse pattern which has five legs in it. The last leg of wave v is over in the form of wave A and the up move seems to be in wave B which consists three corrective waves in it (a-b-c).  Currently prices are forming inverse head and shoulder pattern, in which prices are in process of making the right shoulder. Once the level of 1.170 is taken out on the upside prices can soar near till 1.20 levels over medium term. In short, once single currency crosses the level of 1.170, it can surge till 1.20 over near to medium term. Learn Elliott Wave and Neo Wave to for

Daily Chart of Bank Nifty From the above chart of Bank Nifty, it is visible that prices are moving precisely in a rising channel by forming a higher highs and higher lows which is a positive formation. As far as prices persist in this channel, the bias will remain positive. Technical indicator RSI as shown in the chart has relieved from the overbought zone and can resume the uptrend soon. As per Wave perspective, the channelized move is an impulse wave, in which wave iii is either ongoing or it is over. It can also be extended or can be an extension within extension. However it is early to jump to the conclusion. This means wave iv and wave v is still pending. In short, the bias is positive and prices can test 29000 or above that in near to medium term with the crucial support of 27500.

EURUSD EURUSD is moving down in an impulse fashion. Recently it has completed wave iv after extended wave iii, thus opening the possibility of wave v on the downside which can tumble prices till 1.150 or even lower. However, wave v can also be a failure, particularly known as truncation. So I will be bearish for this pair with the support at 1.150 and if it is broken then acceleration of downtrend will continue. In short, expect prices to stumble close to 1.150 in near term.

USDINR Daily chart From the above chart USDINR has completed five waves on the upside, thus opening the possibility of a correction which can drag prices near till the immediate support. The supports are now placed at 68 followed by 67 which is the support of the trend line. I think all these support will be broken in near term or in medium term. From wave perspective, after completing an impulse wave, a corrective wave of a higher degree is likely to follow which can take prices till 68 followed by 67 over short to medium term.

MCX Gold (Daily Continuous contract) From the above chart of MCX Gold, it is very clear that the trend is now negative as prices reversed from the channel resistance and is now moving in a lower high and lower low formation. Prices also formed a topping process by making a bearish Head and Shoulder pattern. This pattern is completed as the neckline is breached, placed close to 30,700.At present, the yellow metal is hovering near the neckline and can move down from current juncture. As per wave theory, prices is set to move down in one higher degree of wave b in which it has completed wave a and wave b. So the possibility of wave c is open on the downside which is impulse in nature or it can end up in a diagonal. In short, MCX Gold is set to dip near to 30,000 followed by 29500 where the channel support is placed over short to medium term.