Application of Channels, Moving averages, Fibonacci on Sunpharma!

Many think that market moves in random fashion and there is no way to trade or invest it with objective tools. However we differ from it and suggest that objective technical tools can provide fruitful results from short, medium to long term perspective. We are not just saying but proof of the same is shown below on Sun Pharma chart with applied basic technical analysis  like Channels, Moving averages and Fibonacci. Here we can see that how prices have reacted post touching channel as well as 61.8% Fibonacci retracement level.  

Sun Pharma 60 mins chart: (Anticipated in the morning of 27^th January 2016)

Sun Pharma 60 mins chart: (Happened on 29^th January 2016)

(part of research taken from The Financial Waves Short Term Update)

Wave analysis:

CNX Pharma index has been moving in sideways to negative action from the start of 2015. Recently this index tested the support of important channel and has formed Hammer candlestick in last week. This indicates that buying attempt was witnessed in last week from lower levels. Prices have taken out the high of last week which suggests positivity over short term. In this case Sun pharma can be one of the stocks which can show upside trend in coming days.

As shown in 60 mins chart, prices have taken out the last leg of down move with strong momentum which indicates that consolidation is over and trending move on upside can continue. On downside 775 is the important support where channel is placed.

In short, Sun pharma near term trend is positive with the support of 775 for a move towards 840 levels.

Happened:  As expected Sun pharma continued the positive trend and achieved our mentioned level of 840 on 29^th January 2016. Post that once again prices have reached toward crucial juncture, so what should be the trading strategy now?

Subscribe to “The Financial Waves Short Term Update” which covers Nifty and 3 stocks with important levels and Elliott wave counts. For more information visit Pricing Page

Attend one of the most advanced training on technical analysis which focuses on Hurst’s Time cycles along with Neo wave – Advanced Elliott wave to understand the key reversal areas that can be applied right from trading to creating investment portfolios.

Enroll now for the training to be conducted on 12^th and 13^th March 2016 before 1^st February to avail early bird offer. It is a very different experience when you are trained to capture the reversal areas yourself but yes this will come with experience and practice. Post the training you can also share across the charts as an ongoing support. For registering Contact US or write to us at helpdesk@wavesstrategy.com or call us on +91 9920422202 / +91 22 28831358.

Time Cycles and Neo Wave - Advanced Elliott Wave for Portfolio Creation, Stock Selection & Trading

The most comprehensive training on Elliott Wave, Neo Wave and Time Cycles is here…

Announcing Exclusive course on Time Cycles and Neo Wave - Advanced Elliott Wave for Portfolio Creation, Stock Selection & Trading…

Get ready for the markets in 2016. We strongly believe that the downtrend that started in 2015 is in matured stage and we are now getting ready for a very strong reversal and uptrend. For now there is no positive confirmation but the technique of Time cycle along with two stage confirmation as per Neo wave techniques which is Advanced part of Elliott wave is providing leading signals.

We have been able to capture the top in 2015 very accurately and are optimistic to rely again on these objective and scientific methods rather even if it is against the crowd to take correct and independent decision. You can also learn these techniques and start building on the experience of capturing the major turning areas.

Join us for the 2 days extensive course on Time cycles and Neo wave techniques for Portfolio building, stock selection and ideal trade setups

Course Highlights:

·  Ideal Trade setups to enter the market

·  Time cycles – A very important element to help reduce the number of probable scenarios to nearly one!

· How to make the most of the position by timing the exit

· Know when not to trade – A key to trading success

· Applying other techniques along with Elliott wave for high conviction trade setups

· How to keep the profits intact after a winning streak…

· Participate on our Discussion Forum to keep learning the technique even after the course.

· Post your charts after the course with the Elliott / Neo wave counts, Time cycles or any other techniques you like to apply and get instant feedback 

·Access to Free research for a limited period

When and where is the Course?

The training is at Hotel Grand Sarovar Premiere, Goregoan, Mumbai on 12^th -13^th March 2016. This belongs to 5 star category having chain of international hotels and the fees are including Tea / Coffee and Lunch.

Contents:

1. Overview of Elliott Wave

2. Neo Wave

3. Two stage confirmations

4. Diametric Pattern

5. Newly discovered patterns

6. Different Rules and guidelines

7. Cycle Analysis: Time the market with accuracy using Time cycles

8. Trade setups, Application of the concepts on charts

Who is the speaker?

Ashish Kyal, B.E., MBA, CMT

Ashish carries vast experience of analyzing World Equity, Currency and Commodity markets using techniques like Elliott Waves, Time Cycles, and momentum tools.

Ashish is a regular speaker on CNBC TV 18, Zee Business and Dukascopy- Swiss Business Channel. He frequently speaks at financial seminars like Market Technicians Association (MTA - USA), Association of Technical Market Analysts (ATMA), National Institute of Bank Management (NIBM), Sydenham Management college. He is on the selection panel of GDPI for premiere B- Schools and invited by Somaiya Institute of Management Studies and Research to speak on Entrepreneurship. He has also been invited as a guest speaker at National Stock Exchange of India (NSE) for the Post Graduate Certificate Program in Financial Economics, had been a chairperson for SIMSR International Finance conference.

Training Duration:

12 hours (6 hours daily)

Registration Fee:

Early Bird offer: Investment for the Training is Rs. 23000 + 14.5 % Service tax. If registered after 1st Feb 2016 charges would be Rs. 26000 +14.5 % Service tax

Registration is on first come first basis as there are limited seats.

For registration visit http://www.wavesstrategy.com/Payment.aspx or call us on +91 22 28831358 / +91 9920422202 or write to us at helpdesk@wavesstrategy.com

How Time cycles can be used from Trading perspective! Imagine the power when combined with Neo wave, Bollinger Bands, Channels

Nifty bounced back from the support zone near 7250 which had been very important support levels that we have been mentioning in our research reports for quite sometime.

We have been able to capture the majority of the turning areas very accurately including the major tops made at 9119 in March 2015, Top of August 2015 post which there was a crash from 8400 to near 7500levels and then the top made at 8200 followed by 7950. Each of these tops occurred exactly on the cycle day or very close to it. Below chart needs little explanation that shows the Topping Time cycle.

Figure 3: Nifty daily chart – 49 days Topping Cycle and Bollinger Bands (shown on 5^th January 2016)

Below cycle is picked up from the Monthly research report:

49 days Time cycle: We have seen bottoming Time cycles working very well but at times it is important to look at the Topping cycle as well. This 49 days Time cycle is shown in Figure 3 on Nifty daily chart. We have been using this topping cycle for many years now and it has produced the desired outcome most of the time. As per this important tops are formed every 49 days and we can clearly see the top of August 2015 post which there was severe selloff which was also formed on this cycle day. After 3 months we have seen a fall of more than 150 points on Nifty on 4^th January 2015. This indicates short term bearishness for few days.

This was about capturing the top. Now read below and see the chart yourself that helped us to capture the very crucial low made at 7240. The below chart was shown in the daily research publication “The Financial Waves short term update” on 18^th January 2016 well before market bottomed out near 7240.

Nifty weekly chart: (as shown on 18^th January 2016)

Bank Nifty daily chart: (as shown on 18^th January 2016)

The below research was published in morning of 18^th January 2016

Importance of Channel intersection: During times of high volatility and extreme sentiments the moist reliable technique that comes handy is the Channeling method. The weekly chart of Nifty shows two different channel intersections near the zone of 7250 – 7300. Intersection of trendlines are very important zone and becomes all the more relevant when it connects two different cycles. We can see that the support area as per the upward sloping blue channel which connected the euphoric rise of 2014 is near 7200. On the other hand, red downward sloping channel connects the cycle of correction of 2015. Interestingly the support of this channel is now near 7300 and to add importance to it both of these important trendlines is intersecting near 7250. This gives lot of objectivity and the worst case scenario analysis for the current trend…..

Happened: Nifty made a low at 7241 on 20^th January 2016.

Applying channel to leading sector – Bank Nifty: The sector that is leading the fall is Bank Nifty. The daily chart of Bank Nifty shows parallel lines connecting the tops and the lows. We can clearly see that prices are now approaching near the lower trendline of the channel with the support zone lying near 14700 – 15000 mark. We are now close to these levels and this week is going to be crucial. But please understand this doesn’t mean one should start creating long positions at current levels. Unless we see a base formation with strong positive close and faster retracement above the last falling segment it is prudent to avoid catching a falling knife and allowing the market to decide its low levels.

The zone of 7250 – 7300 is very crucial channel support on Nifty and 14700 – 15000 is the support zone on Bank Nifty. There is high probability these levels will be respected but let market confirm the scenario probably this week.

Happened: Nifty touched 7241 hardly 9 points below the level of 7250 on 20^th January and reversed sharply from there to move close to 7500 mark whereas Bank Nifty touched 14750 on same day close to the lowest level of 14700 which we mentioned and reversed sharply from there to move above 15500 in today’s session.

The above research shows the application of only Topping Time cycle along with Channels. Simply imagine the power when we combine this with Neo wave and indicators like RSI, Bollinger Bands to understand the path ahead and capture key reversal areas to ride the next trend!

Announcement:

Enroll Now for the Most advanced training on Technical analysis – Time cycles combined with Neo wave.

Announcing Exclusive course on Time Cycles and Neo Wave - Advanced Elliott Wave for Portfolio Creation, Stock Selection & Trading…

Get ready for the markets in 2016. We strongly believe that the downtrend that started in 2015 is in matured stage and we are now getting ready for a very strong reversal and uptrend. For now there is no positive confirmation but the technique of Time cycle along with two stage confirmation as per Neo wave techniques which is Advanced part of Elliott wave is providing leading signals.

We have been able to capture the top in 2015 very accurately and are optimistic to rely again on these objective and scientific methods rather even if it is against the crowd to take correct and independent decision. You can also learn these techniques and start building on the experience of capturing the major turning areas.

Join us for the 2 days extensive course on Time cycles and Neo wave techniques for Portfolio building, stock selection and ideal trade setups.

When and where is the Course?

The training is at Hotel Grand Sarovar Premiere, Goregoan, Mumbai on 12^th -13^th March 2016. This belongs to 5 star category having chain of international hotels and the fees are including Tea / Coffee and Lunch.

Training Duration:

12 hours (6 hours daily)

Registration Fee:

Early Bird offer: Investment for the Training is Rs. 23000 + 14.5 % Service tax. If registered after 1st Feb 2016 charges would be Rs. 26000 +14.5 % Service tax

Registration is on first come first basis as there are limited seats.

For registration visit http://www.wavesstrategy.com/Payment.aspx or call us on +91 22 28831358 /    +91 9920422202 or write to us at helpdesk@wavesstrategy.com

Nifty & Bank Nifty: Predicting crucial levels using Channel intersection technique!

Importance of Channel intersection: During times of high volatility and extreme sentiments the most reliable technique that comes handy is the Channeling method. The weekly chart of Nifty shows two different channel intersections near the zone of 7250 – 7300. Intersection of trendlines are very important zone and becomes all the more relevant when it connects two different cycles. We can see that the support area as per the upward sloping blue channel which connected the euphoric rise of 2014 is near 7200. On the other hand, red downward sloping channel connects the cycle of correction of 2015. Interestingly the support of this channel is now near 7300 and to add importance to it both of these important trendlines is intersecting near 7250. This gives lot of objectivity and the worst case scenario analysis for the current trend. Existing shorts can ………..

Nifty weekly chart:

Applying channel to leading sector – Bank Nifty: The sector that is leading the fall is Bank Nifty. The daily chart of Bank Nifty shows parallel lines connecting the tops and the lows. We can clearly see that prices are now approaching near the lower trendline of the channel with the support zone lying near 14700 – 15000 mark. We are now close to these levels and this week is going to be crucial. But please understand this doesn’t mean one should start creating long positions at current levels.

Bank Nifty daily chart:

Unless we see a base formation with strong positive close and faster retracement above the last falling segment it is prudent to avoid catching a falling knife and allowing the market to decide its low levels.

The Financial Waves short term update – is flagship product of WSA and it contains advanced technical analysis studies like Elliott wave, Neo wave, Time cycles on Nifty, Bank Nifty, stocks published on daily basis before markets open. You can subscribe to this research report by visiting PricingPage.

Training Workshop:

The most comprehensive training on Elliott Wave, Neo Wave and Time Cycles is here…

Announcing Exclusive course on Time Cycles and Neo Wave – Advanced Elliott wave for Portfolio Creation, Stock Selection & Trading. Get ready for the markets in 2016. Register NOW for this two days training event scheduled on 12^th and 13^th March 2016 in Mumbai. Contact US on helpdesk@wavesstrategy.com or on +91 22 28831358 / +91 9920422202 or Fill the form with your details here and we will get in touch with you: Contact US Form

Enough of blaming China for the selloff!

Indian Equity markets have been correcting post the high made at 9119 in month of March 2015, last year. This high was also made after the slower pace of rally post the election outcome in May 2014.

Shanghai Composite Index (China Equity market) topped out in June 2015 which was almost 4 months after the high made by Nifty. Also developed markets have relatively outperformed India over the entire period and did not show much of price correction but more of time correction.

The easiest way to explain a fall in markets and attribute the losses is to blame Global events as it is most convenient thing but only after the move has happened. I distinctly remember the extreme optimism during the Budget time of 2014 when Crude was already in downtrend and the widespread euphoria was fall in commodity prices will provide upper hand to India and reduce the deficit drastically. However, during that time we came out loud and bold that Global economies are headed towards the Commodity crises and fall in prices also indicate slowdown in demand. It was then in early 2015 that we warned about impending downtrend in India and the extreme optimisim is about to fade out equally fast.

Now we are here and people are looking back and started blaming China for the selloff but for an investor or a trader it is simply providing a comfort value but carries no importance from Investment or trading perspective.

Case in point: It is time to stop finding out reasons for the correction but to use objective techniques that can help us forecasts the future and take the right action in timely manner. We think that the correction that started last year is now in its matured stage and we are now headed for one of the very strong rise that can be witnessed.

Trust me news will change drastically after the rise has happened and might look something like this – “Lower Crude prices help India to reduce the deficit and provide much needed boost. Corporate profits to improve drastically given fall in interest rates and reduced commodity prices. Inflation is within the comfort zone and RBI governor will be accommodative to ensure fast recovery in economy.”

Now coming back to the method we think is an objective way to forecast the future trend – Elliott wave and Time cycles

Nifty daily chart (India) compared to Shanghai Composite (China)

There are certain things that work extremely well in markets but might be difficult to digest. Everything is governed by cycles and so is stock market. There are instances when the turn in prices has happened exactly on the cycle day and we have our records marked on charts to prove its importance. These things are not random and that is why we see Channels, Fibonacci ratios, Elliott wave patterns, et al working again and again and have stood the test of time for providing forecasting ability.

It is time to stop blaming the events or China for that matter and use the objective techniques to forecast the future trend. We are headed for some golden era and yes, I might be off by a few months if it is not immediate but it is worth the chance given the extreme pessimism amongst crowd which is typical during major reversals. Check the news back in August 2013 just before the major rally started and you will find all the logical explanation why it was not the time to enter the markets given the uncertainty of central elections in 2014.

Subscribe now to “The Financial Waves Monthly update” along with “The Financial Waves short term update” to objectively see where we are headed and why we think 2016 is has potential of being one of the strong years. Also understand forecasting is all about probability and the evidences are enough for us to take this stand but one should also understand the risk associated in case lower probable scenario turns out. For subscription options visit Pricing Page

You can equip yourself with the necessary tools by attending the two days workshop on Most advanced training workshop on technical analysis – Time cycles and Neo wave – Advanced Elliott wave for Portfolio creation, Stock selection and Trade setups. Invest NOW for this 2 days training in Mumbai on 12^th and 13^th of March 2016. For registration Contact us at helpdesk@wavesstrategy.com or call us on +91 22 28831358 / +91 9920422202.