Understanding the trend of Bank Nifty with the help of Elliott wave, trendlines, moving averages, MACD!
Bank Nifty has started to provide support to the Nifty once again and major participation has been witnessed from private banks like Indusind Bank, HDFC Bank, Yes Bank! The current rally of Bank Nifty has arrived at the previous peak and hence momentum will play crucial role. During such times it is important to understand the Elliott wave structure and pattern under formation can help us to gauge the upcoming trend ahead. Below we have shown part of research taken from Bank Nifty research report published in the morning of 14th September 2017.
Bank Nifty daily chart:
Bank Nifty 60 mins chart:
(Part of research taken from report dated 14th September 2017)
“Bank Nifty protected the important trendline support and has given upside breakout which suggests that uptrend has resumed. It is better not to catch the top now and follow the trend which is positive.
As shown in daily chart, since April 2017 prices are intact in Expanding structure and as per the pattern under formation the current rise is in form of minor wave c. MACD has also given positive crossover and it is interesting to see that prices have respected 50 days EMA. As per Expanding pattern, the trendline resistance comes near ….evel which is huge target from hereon however we would like to adopt conservative approach as per which sustainable move above …..will open up further upside targets.
As shown in 60 mins chart, the rally has been sharp in nature and hence any dip is going to buying opportunity with …..as a crucial support on downside.
In short, Bank Nifty trend is positive and use any correction as buying opportunity for a move towards ……”
Trading based on Elliott wave pattern and important risk management level is vital. You can get access to Bank Nifty Research Report which is published twice in a week for taking better trading decisions.