Tuesday, April 30, 2019

Nifty trading using simplest horizontal lines support and resistance!


Technical analysis is all about trying to find out the best fit or methods that are currently working in the markets. There are various methods from the basic support and resistance level identification to the complex patterns of Elliott wave and Time cycles. I believe in combining anything and everything that can help in increasing the trading accuracy.

Now look at the below chart of Nifty that shows important pivot levels. A pivot level is essentially the area which results into reversal by either acting as a support or as a resistance. In below chart, we have drawn many horizontal lines across different pivot levels. Break of this level result into movement towards the next level. So, one can form trading strategy around this simplistic but effective method.

Nifty hourly chart:



In above chart you can clearly see multiple levels. The key is to identify the resistance level and buy on break above that level. As the overall movement is from bottom left to the top right corner the trend will remain positive. So it is best to create buying strategy unless we see lower highs and lower lows below the first horizontal line.

As per this method breaking above 11780 – 11800 will indicate the resumption of the up move with important support being placed near 11550 levels. It is best to trade objectively and even simple methods like this can do the magic!

So, how to forecast using advanced methods when such simple methods are combined together? Subscribe to “The Financial Waves short term update” along with the “Momentum research report” and see the power of technical analysis. Get access here

Thursday, April 18, 2019

Tuesday, April 16, 2019

Gillette India: 28% return in just 5 months!!

Gillette India Ltd has been in a strong cyclical bull trend for many years. The stock has simply been up-up and away. Gillette India is one such stock that we recommended in our Multibagger research report based on various studies like Time cycles, Elliott wave, indicators.

We recommended this stock when it was quoting near the zone of 6550 and was successfully able to catch the upmove. It touched its lifetime high near 7919 levels in today’s session. See yourself how we were able to catch the upmove even before it began.
Below is the chart showing detailed analysis published in our research report -“The Financial Waves Multibagger Update”
Gillette India Weekly Chart: (Anticipated as on 30th October 2018)

Gillette India Ltd. daily chart: (Happened as on 16th April 2019)
 

(Following research is taken from Multibagger report published on 30th October 2018)
Multibagger stock recommendation: Gillette India Ltd

Buy Price – Buy at CMP 6550 and more on dips to 6200

Time Horizon – 1 to 2 years

Investment – 5% of capital

Target price – ??? (given in actual report)

Stop loss- ???

Anticipated as on 30th October 2018-  Prices are showing clear impulsive rise from its low of 600 levels. As of now, cycle degree wave [3] is ongoing which is further subdividing. We can see time correction in form of primary wave iv. Prices are moving precisely within the blue channel and the lower trendline is providing good support. The …….. weeks’ Time Cycle is working amazing. On prior two occasions the stocks formed major top and now we expect a low as there is Time correction in form of wave iv and not much of price correction.

We can expect a strong move on upside towards  ……. levels. In case this level is taken out then it will result into a 3rd extension scenario for much higher targets. It is best to accumulate this stock slowly and steadily over the period and buy more on dips towards 6200 levels.

In a nutshell, we expect wave v to start soon in Gillette for the targets of …… But one should buy in staggered fashion and not risk more than 5% of capital in any one stock in current scenario.

Happened as on 16th April 2019The stock has been moving in sync with our expectation and hit its lifetime high near 7920 levels in today’s session. The upmove has been strong and we expect prices to achieve its target of ….. levels in coming months or years

The above analysis clearly shows how one can identify the stocks from positional investment perspective just with the help of Elliott wave, time cycles and other basic indicators. If you wish to build portfolio of stocks that can be potential Multibagger we can help you with identifying the stocks which can give alpha returns over medium to long term holding period. Get access now

Monday, April 15, 2019

Tatamotors: Amazing trend, what is the target?

Tatamotors had been showing strong outperformance over past few weeks. This stock had been a major laggard earlier but has shown a strong rise from the lows.
So, is it possible to capture the strong trend in such stocks by looking at the technical analysis methods?
See the below chart of the stock published on 11th April 2019 when it was trading near 215 levels.
Tata Motors Hourly chart: (Anticipated on 11th April 2019)

Tata Motors Hourly chart: Happened as on 15th April

Following was mentioned on 15th April 2019:  
“As shown on daily chart (shown on daily equity research report) price broke above the falling channel through which it traversed since early 2018. There is a possibility that an important low is formed and we are seeing a medium term positive breakout. However, unless we see 5 legs up move in impulse form it is best to stick with the ongoing corrective counts that suggest we are in wave g of b and then one final leg on downside will come that will complete the major bear market in this stock. The current up push might be a trap from medium to long term perspective. However, over short term one can use dips as buying opportunity as long as 200 remains intact.
As shown on hourly chart, prices are moving in diametric pattern in form of wave b (blue). Currently wave g is ongoing on upside. The 45 period EMA has been providing support for the uptrend of wave g. The Hourly RSI is near resistance zone so we can expect some sideways movement and a break above 217.30 should take price towards 230 levels as far as 200 levels remains intact on the lower side.”

Happened: Tata Motors touched intraday high of 233 levels in today’s session. It moved precisely as expected and touched the target level above 230 in just 3 trading sessions which is gain of nearly 8%. This simply shows power of Elliott wave with other technical methods.
What is next? The overall trend remains bullish for this stock but it is best to buy on dips rather than buying after a rally of 8%. So which levels to enter from here on? Keep reading the daily equity research report for stock trading ideas and levels – “The Financial Waves short term update”. Get access here
We have also given intraday calls on Tata Motors DVR and it gave an amazing move achieving both the targets on upside. Get access to the Intraday / Positional advisory contact us here

Friday, April 12, 2019

Thursday, April 11, 2019

Gold – Classical impulse down complete and starting the up leg?


MCX Gold has corrected sharply from the levels of 34000 to 31500 on downside. It formed classic Elliott wave impulse down.

Look at the below chart of MCX Gold picked up from “TheCommodity waves short term update

MCX Gold June 60 min chart: 

Following was mentioned in the morning research report –
 
On the daily chart of MCX gold (shown in actual research report) we can see that the rally that started form 31400 seems to have stalled near the resistance at 31300. We can see the prices consolidate to digest the strong upmove, this is supported by the fact that the RSI can be seen going slightly flat.  We can also see that a new leg has begun in the form of corrective wave a which will push the prices higher. 

On the hourly chart we can see the prices have broken above the downward slopping channel with good momentum, currently we can see it going sideways and forming a continuation pattern, which is supported by the fact that the RSI is making a move downward move from the overbought level. 

In short the trend for MCX gold seems to be sideways to positive with the immediate resistance placed at 32300 and the support at 32000. If the level of 32300 is broken on the upside with we can see the prices touch the levels of 32500 provided the level of 32000 is hold on the downside. 

Subscribe now to “The Commodity waves short term update and see detailed Elliott wave counts with clear trade setup on Gold, Silver, Crude and Copper. Trade based on systematic method of Elliott wave and avoid the clutter. Subscribe here

Tuesday, April 9, 2019

Nifty: Bollinger Bands® Impulse rise and Channels! What is next?

Nifty had continued to move precisely as we have been expecting. Prices after reversing back from life time high levels of 11760 are drifting lower. See the application of Bollinger Bands, RSI and Channels in below research.
In daily equity research report we have been mentioning that Nifty will move within the range of 11550 and 11760 levels and prices behaved exactly as expected. See yourself below chart with Elliott wave impulse pattern, Bollinger Bands
Nifty 60 minutes chart:

Following is mentioned in the research before equity markets opened:
In the previous update on Nifty we mentioned, “The trend for Nifty might continue to remain sideways with the resistance placed at 11760 and the support at 11550”. BANG ON! Nifty moved precisely as expected, found support near 10550 levels and bounced back. 
In the previous session Nifty opened on a flattish note and immediately posted a high at 11710 and had a slow but steady fall throughout the trading session pushing the prices towards the support level of 11550 that we have been mentioning in the previous updates. Mild buying came in at 2:40 PM due to which slight retracement was seen towards 11604. On the sector front we saw all 10 out of 11 sectors compiled by NSE fall led by Nifty Realty Index which ended with a loss of 2.19%, the only gainer was the Nifty IT index that ended in the green with a gain o0f 0.66% as the USD strengthened against the INR. Reliance industries and HDFC bank were the draggers. 
On the daily chart (shown in actual research report)……… 
On the hourly chart we can see that prices are probably forming minor Flat correction pattern. Bollinger bands are working extremely well and the lower end of the bands provided supported yesterday. Let us see if prices can now move towards the upper end of the band near 11700 levels. Break below yesterday’s low will drag Nifty towards …….. levels. As long as 11500 and 11760 is protected range bound action can continue. 
The above clearly gives the important range one has to keep in mind and trade accordingly. Also we are giving Intraday calls on Nifty and Bank Nifty. Following is a sample of Bank Nifty call given based on many of the above discussed methods. 
8th April 2019 12:14 pm - BANKNIFTY FUT SELL BELOW 30221 SL 30416 TGT1 30124 TGT2 29928 
8th April 2019 01:28 pm BANKNIFTY FUT SELL CALL GIVEN TGT1 ACHIEVED AT 30124 
8th April 2019 02:21 pm BANKNIFTY FUT SELL CALL GIVEN TGT2 ALMOST ACHIEVED AT 29932 
Subscribe to the Intraday advisory and get the access to the research report free. Get indepth Elliott wave counts with technical indicators and clear strategy to adopt. A strong trending move is now going to emerge soon. Get access now