Above was the message I posted on sep 2018. Please pay attention on the "Important note: para.
At that time my expectation was 30-32k but later realised that might happen in 2018 so I expected it would happen in 2019. So far banknifty managed to make high around 31740 zone. But its not yet done. we have to make new all time high above 32000. That I am confident about. There will be a top formation at that new all time high. I cant say the exact point now
On the below chart. Please dont get confused with subwaves of red wave 5. pardon me on that since I was plotting subwaves to spot the top so they are there. You may just ignore them.
This red wave 3 didnt get extended and in that case wave 5 needs to be extended till around 32900 zone. This wave 5 is getting bit complicated with different probabilities. At the moment my expectation is 32000-32500 for top formation. again that depends on development if its subwaves. I am closely monitoring it. Because once the top is formed the correction might go for few years. I would expect atleast 10% correction from the top if it is formed around 32500.lets wait and see
View attachment 35952
And On Nifty my expectation was 12K and it has already hit but there is no strong reversal sign yet. So top is yet to form. initial expectation is around 12500-12750/13000. as time goes by we should be able to gain confidence and adjust the levels.
Nifty small cap index formed a strong top in Jan 2018. Inverted hammer. Whenever these kinds of strong top forms, it will take more time to recover. Currently it looks like 1000 point rally is due. once that happens correction might resume. we need to assess that later. At the moment it should not break below 6K. If it happens in the next few days then it will go down further before making any meaning full pullback,
On Nifty Midcap once it breaks above 18262 then we could expect some sharp rally towards new all time high. But till now there is no reversal sign yet.
Thanks
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