Indian Equity Market (Nifty) has been consolidating above the psychological level of 8000.
However, stock such as Maruti and Tata motors from the Auto index have continued the outperformance irrespective of market movement. Basic techniques like channeling along with short term time cycles are working well on Maruti’s hourly charts.
Trading is all about execution of trade with price as well as time confirmation and hence we have been applying time cycle on short term charts to find out probable bottom or top. The below time cycle is the basic one along with it we are also applying Hurst time cycle which is the advanced concept created by J.M. Hurst.
Below is taken from “The Financial Waves Short Term Update” which covers Nifty and 3 stocks where short term opportunity exists.
Maruti hourly chart: (Anticipated in the morning of 18th September 2014)
Maruti hourly chart: (Happened on 19th September 2014)
(part of research published in the morning of 18th September 2014)
Irrespective of market movement stock of Maruti continued outperformance and trading at the life time highs. During the uncertain period it is better to stick with outperforming stock.
The structure of hourly chart shows that this stock is marching with momentum within the blue up moving channel. The 59hours time cycle (Bottoming Cycle) is working brilliantly, prices made bottoms near it and resumed the up run.
In short, for Maruti our bias is positive with the support of 2910 and prices can move towards 3050 level.
Happened: Maruti achieved our target and currently quoting around 3100 levels.
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