Nifty 50 Analysis. As on Tues 6 April 2021. CMP 14,637. Posted at 8:15 am.
We are adding another count. If this is getting a bit confusing, it is enough to go with one key take-away :
The 14,000 level (+/- 200 points) is likely to be seen, which would be a buying opportunity for resumption of the larger trend. Whether this zone of 13,800 ~ 14,200 will be seen next week or next month depends on which count plays out.
With the new count also looking as good as the other 2 counts, we have no preference, and are labelling them as Count 1, Count 2 etc, instead of Primary, Alternate 1, etc.
Count 1 (New) : The 3 day chart shows a bullish triangle in progress. On the 4 hour chart, a small bearish triangle is in progress. Price is yet to complete wave C to the downside at about 14,000 ~ 14,200, which would be a buying opportunity.
Count 2 : The form shown below for wave C completion of a bearish triangle remains valid, but the form would be better if a new high took place - even above 14,900 would be a better "look" to complete wave C.
So while the preference is for a rally to first above 14,900 to complete wave C of the bearish triangle, we cannot rule out that it is already in place at 14,883.
This count is valid as long as 14,265 is not first violated.
Count 3 : The expanding triangle is still very much on the table. This calls for a rally to above 15,333 in the next few weeks to complete the bearish triangle.