Nifty 50 Update. As on 8 April 2021. CMP 14,866. Posted at 3:25 pm.
The high of today at 14,982 could mark a temporary top. Price should move sideways to lower for the next few days.
The price action of the last 3 sessions has allowed us to have a preference between the 3 counts outlined in our post of 6 April.
Primary count : Wave C of a bearish triangle appears complete at today's high of 14,982.50. Price should decline in wave D to 14,300 ~ 14,400 in the short term. On completion of this bearish triangle, a thrust lower is expected to the 14,000 level (+/- 200 points). This was our primary count earlier, and now reverts back to being the primary count.
In fact, in our previous post we said "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."
Alternate count 1 : The expanding triangle is still on the table. A rally above 15,000 would likely put this count into primary position. But until that happens, this count remains an alternate.
Alternate count 2 : This was the new count we introduced on 6 April. It is still possible, but wave C of the bearish triangle today at 14,982.50 has moved too close to wave A of the bearish triangle of 15,051. So at this stage it is looking less likely than the above 2 counts.