Monday, September 12, 2016

Nifty strong selloff, Is it just the beginning? PCR, TRIN, Channels, GANN all warned few days earlier!

Many of the technical indicators like PCR ratio, Channeling technique, TRIN indicator, faltering market leaders like Yes bank all warned of impending reversal!

Majority of the traders are now trying to figure out logical reason for such a huge selloff in Global markets and it is interesting to see there is none. Given the selling pressure in US markets majority are now going to talk about FED cautious stand.

But is there a way to identify such impending correction?

Absolutely YES! Look at the following research published to our paid subscribers over past week and also we shared a part of it on our website for all our readers. Here is the link of that article that clearly mentioned risk of going long is way too high given the deterioration in majority of indicators: Nifty-channeling-trin-pcr-ad-line-faltering-market-leaders-all-sending-warning-signs_1_21627

Now look at the below charts and think yourself if this is just the beginning or we are near the end of correction?

Nifty daily chart published on website on 9th September 2016 when Nifty was trading at 8900 levels around 2.30 p.m.

Happened as of now: Scroll below there is more to it…

At times it is important to understand the risk of going long rather than thinking about missing the trend. Majority of the indicators aligned together after a long time that suggested an upcoming downtrend. Following is the research published to our paid subscribers in research report “The Financial Waves short term update” over past week -

Published on 12th September morning: Trend for Nifty is negative and sustainable Gap if not filled throughout the day will be bearish. We have received first stage of negative confirmation as the 0-b trendline is now broken. Further selling below 8760 in faster time will indicate that the trend that started from 8540 is over and bigger degree downtrend has started. …. Time to be alert and not complacent like majority!!!

Published on 11th September morning: TRIN indicator that measures the amount of money flowing into the stocks is now again reaching extreme overbought levels. Such readings are signal to be alert. PCR ratio has now crossed above 1.40 which is not very often. Also prices are close to the upper end of the channel resistance. Slowly and steadily the indicators are getting aligned….

Published on 10th September morning: Prices and daily RSI both has arrived near important levels from where we have seen reversal on previous instances.

The above simply highlights the fact that we have been warning our clients all of the past week and markets have behaved exactly as expected.

Selling pressure seen in today’s session was across the board after many months and get ready to be surprised with high volatility! News or events will follow once the selling pressure continues from here on but that will be only after the move has happened.

Subscribe NOW “The Financial Waves short term update” and see yourself detailed analysis with Elliott wave counts, Indicators and many other techniques applied together on charts of Nifty and stocks. It is not very often to see such alignment of indicators with strong confirmation from price and there is still much more room to cover. It indeed looks like a beginning which will be against the majority’s expectations and we have our written justification for the stand taken! For Sample copy of your research Contact US

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