Sometimes you have to assume Impulse to be conservative….

[Aditya TulshibagwaleParticipant]

Many Elliote wave/ Neo wave users often say that to be conservative, we have to assume pattern as a part of corrective action instead of impulsive pattern to generate conservative target. Following is a stock which has formed an 5 wave pattern in first wave. Usually to follow conservative approach, one would assume it to be a zig-zag correction. But here, wave which has been marked as wave 3 (Its an impulsive move. Can be seen on hourly chart) in the pattern if assumed to be of zig-zag, would result into extreme target of at least an equality of this wave. But if assumed to be of an impulse, gives lesser conservative target, equality with wave 1.

[Ashish Kyal, Author, CMT]

Which stock is this?

[Aditya TulshibagwaleParticipant]

Bajaj Finserve

[Author]

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