Nifty Elliott Wave Analysis and Prediction for week ahead

The Nifty index recently surged to an all-time high, touching 19991.85. Currently, it’s navigating through a complex correction phase, which we believe is Wave (4). In Elliott Wave analysis, these complex corrections consist of multiple ABC patterns linked by a three-wave movement called Wave X.

Nifty Key Levels to Monitor:

  • Keep an eye on the high-volume zone around 19390-19445.
  • Resistance levels are situated at 19605-19640, and there’s a secondary resistance zone near the monthly high at 19795.
  • In case of a downside move, support levels are approximately 19200-19250, with a crucial 100-day EMA support at 18950.
  • for more key levels click : Here

Nifty Double Corrective Wave Pattern:

Nifty Elliott Wave

Nifty has recently concluded a double correction, comprising seven corrective waves represented as W-X-Y. Presently, it seems to be moving upward, potentially indicating either another X wave or the initiation of a fresh upward cycle. Confirmation of the trend will arrive when Nifty transitions from forming Lower Highs (LH) and Lower Lows (LL) to Higher Highs (HH) and Higher Lows (HL). A critical point to watch is the Wave (X) top, approximately at 19645.50, for added clarity.

Nifty Option Chain Insights:

Nifty Option Chain

  • Examining the option chain data, we observe a Put-Call Ratio (PCR) of 1.25.
  • For this week’s expiry, substantial open interest (OI) can be found at 19300 Put options where bulls trying to create a support, whereas high OI at 19500 Call options, followed by 19600 Call options where bears are trying to create a hurdle.

Nifty Strategic Approach:

  • In times of complex corrections when market direction appears uncertain, it’s prudent to exercise patience and await a clear trend.
  • For those who rely on pattern trading, consider focusing on support and resistance channels.

In conclusion, Nifty’s recent record high and complex correction require vigilant observation. Patience is key, along with confirmation of a clear trend, to make well-informed trading decisions.

For the latest updates follow us on Twitter and Nifty Elliott Wave live charts, stay tuned to our platform. Don’t forget to check tomorrow’s EOD (End of Day) analysis for a comprehensive outlook on Nifty’s performance.

Disclaimer: The content provided is for informational purposes only and should not be construed as financial or investment advice. Always conduct your own research and consult with professionals before making any financial decisions.

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