After Monday’s fall, Index held the “Apex Point” of the Triangle in “f” leg at 31533 (Nifty 9850), which resulted in another smaller Triangle as lower-degree b-leg inside “g”.
Under NEoWave, “Apex Point” of the Triangle can provide support for 2-3 times, and -ve interpretations can open if the “Apex Point” starts breaking for more number of times. This would mean that a decisive fall below 31533 (Nifty 9850) can open -ve options.
Faster retracement of e-leg & b-d line of last week's Triangle would be an initial sign that the Triangle is getting over. Final +ve sign requires breaking Triangle’s starting point at 31944 (Nifty 9988).
Thus, a decisive move above 31944 (Nifty 9988) would mean last week's Triangle in lower-degree b-leg of “g” is over, and Index is opening up our alternate “bullish” possibility of upward “g” leg.
The Triangle we marked inside “f” leg of our alternate scenario was “Non-Limiting Triangle” and not a “Limiting”. By NEoWave, a Triangle is considered as “Non-Limiting” if the Apex Point lies beyond 20-40% time of the Triangle.
A “Non-Limiting” Triangle in “f” leg does not impose any limit on the “g” leg of our alternate scenario. So, “g” can be normal (hit a new high), or even end as a “failure”.
However, until the Index does actually confirms the bullish alternate scenario, our existing assumption that Index is forming downward f-leg remains open, which, remember, remains our “bearish” possibility.
Read more at http://content.icicidirect.com/ULFiles/UploadFile_2017911104411.asp
Under NEoWave, “Apex Point” of the Triangle can provide support for 2-3 times, and -ve interpretations can open if the “Apex Point” starts breaking for more number of times. This would mean that a decisive fall below 31533 (Nifty 9850) can open -ve options.
Faster retracement of e-leg & b-d line of last week's Triangle would be an initial sign that the Triangle is getting over. Final +ve sign requires breaking Triangle’s starting point at 31944 (Nifty 9988).
Thus, a decisive move above 31944 (Nifty 9988) would mean last week's Triangle in lower-degree b-leg of “g” is over, and Index is opening up our alternate “bullish” possibility of upward “g” leg.
The Triangle we marked inside “f” leg of our alternate scenario was “Non-Limiting Triangle” and not a “Limiting”. By NEoWave, a Triangle is considered as “Non-Limiting” if the Apex Point lies beyond 20-40% time of the Triangle.
A “Non-Limiting” Triangle in “f” leg does not impose any limit on the “g” leg of our alternate scenario. So, “g” can be normal (hit a new high), or even end as a “failure”.
However, until the Index does actually confirms the bullish alternate scenario, our existing assumption that Index is forming downward f-leg remains open, which, remember, remains our “bearish” possibility.
Read more at http://content.icicidirect.com/ULFiles/UploadFile_2017911104411.asp
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