Nifty Ready for Massive Short Covering! Get Ready

Nifty daily chart with 55 Day’s Time cycle

Nifty has reversed decisively from the critical Time cycle date of 12th December, a level we have been consistently highlighting. Prices successfully protected the time-based support zone near 25,690, which has now emerged as an important reference point for the ongoing move. This precise respect of time support reinforces the strength of the broader market structure.

Over the past two sessions, Nifty has delivered very strong gap-up openings, followed by clear sustainability in price action. Such behavior reflects strong buying interest and confirms that the undertone of the market has shifted firmly towards the buy side. After a sharp gap-up opening, the index now has the potential to trigger massive short covering, which can propel prices further towards 26,400 levels, followed eventually by 27,000 levels.

The recent move highlights the importance of time cycle analysis, as the reversal has occurred exactly when time support was due. When price respects time support and responds with strength, it significantly improves the probability of continuation on the upside.

CNX Small Cap Index Weekly chart

As discussed earlier, post 12th December, the CNX Small Cap Index was expected to start picking up momentum. This is now clearly visible. Many traders’ and investors’ portfolios that had been dragging for weeks are beginning to show green signals, indicating improving breadth and participation.

Momentum has started picking up across the board, and on the weekly timeframe, the index has already registered a very strong up move. This confirms that the current rally is not limited to large caps alone, but is expanding into broader market segments—an encouraging sign for the overall market health.

Rare Alignment of Price and Time

What makes the current setup particularly important is the alignment of signals from both price and time, which is a relatively rare opportunity in market cycles. From a NeoWave perspective, price has started moving on the upside in the form of Wave G, which has the potential to carry Nifty towards 26,400, followed by 27,000 levels, and eventually even higher.

Trading Strategy: Keep It Simple

In a nutshell, the strategy remains straightforward:

• Avoid trying to catch the top
• Continue riding the upside
• Stay long as long as prices do not fall below the prior day’s low

This remains one of the simplest and most effective ways to trade the market during trending phases.

Mentorship: Bracket Brahmastra – Master the Art of Timing the Market

Learn to trade the market using the powerful concepts of time cycles, Advanced Elliott Wave, and NeoWave through the Bracket Brahmastra Mentorship on Timing the Market. This structured mentorship is designed to be learned over a period of 3 to 5 months, enabling you to forecast market movements across days, hours, and even minutes.

The program covers the entire spectrum of trading, including:

• Stock selection
• Algorithm-based trading
• Options trading
• Market forecasting using time and wave structure

This is a highly powerful and practical approach to understanding market behavior. Seats are limited, and this is not an opportunity to miss.

👉 Fill the form below for more details and enrollment.