Market Commentary key indices

Market Commentary. As on Friday 14 Jan 2022. Posted at 9:55 am.

All key indices show that tops could be in place.  Covering all 4 key indices in this post – Nifty, Bank Nifty, Nifty Junior and Nifty Midcaps 100.  Even if prices rally further, downside risks have significantly increased.

Nifty 50 : Our primary count was for a touch of 18,375.  But the alternate count is also a very valid one, where price has tested the underside of a trend channel and could be headed lower to below 17K in a larger bullish triangle.  Cannot rule out further upside as per primary count, but with all indices showing price has turned lower from important levels, a change in trend now is a distinct probability.

Bank Nifty : Price reached 61% fibonacci retrace of the decline from 42K to 34K.  Small new highs to 39,500 ~ 40K cannot be ruled out, but the prior 5 wave decline makes us expect a further 5 wave decline to the 31-33K level.

Nifty Next 50 : The 43,500 was a level we were watching from earlier.  If a bearish triangle is in play, price should commence a decline from current levels.

Nifty Midcaps 100 : A retrace after leading diagonal could be nearing completion.