Above is the Daily chart of Nifty
Breaking News on Nifty
The Index had formed a nice base symmetrical triangular pattern which is likely to provide a breakout on the upside. The Volumes have started expanding with the up move in the Index, as well as the daily momentum indicator is well in the favour of the bulls. The upward breakout will be confirmed above 11100 levels of which the probability is high. On the lower side, 10900 is a very crucial support and till those levels aren’t broken the short term trend for the Index remains positive.
As per the Elliott wave Theory, Nifty has completed a five-wave declining structure on the weekly charts which appear to be a triple zigzag corrective pattern on the daily charts. Generally, after such a falling structure the Index bounces back by at least 38.30% to 50% of its previous fall. Hence, the minimum target comes to 11200 which is 38.2% as well as 200 DMA and above those levels, it can zoom towards 11370 levels. On the lower side, 10900 is a crucial support, hence till those levels are held the breakout on the upside will be valid.
Author: Mr.Jay Anand Thakkar, AnandRathi Equity Research, 13th September 2019