Chart analysis added to the updated Alternative View at the bottom.
Nifty50 Daily Chart:
We are currently in wave 4 of the Daily Chart (Blue) of Nifty50, which is expected to finish below the 19K mark. Within this Wave 4, Wave A, indicated in pink (a), has been completed, as well as wave (b) marked in pink. We are now progressing through wave (c) marked in pink. This wave (c) marked in pink, will have 5 waved marked in pink with circle called Inside 1H waves. Out of these we are in wave 3 which will have 5 waves marked in purple.
Over the years, Nifty has been quite unpredictable with wave 4. It often retraces to 38.2%, but with Nifty, it also rebounds at 23.6%. We are now expecting this, so let's take a closer look at this purple wave 4 on the 1H chart below.
Nifty 50 Wave 4 play:
Wave 4 is currently unfolding and should display a clear ABC Pattern, which appears to be forming. If this is accurate, the Sub Micro wave marked in green ABC is active. Wave A is complete, and a pullback to wave B in green might occur (assuming wave 4 isn't complete yet). Some traders believe wave 4 has concluded and that this is merely wave 2 of wave 5, which would indicate further downward pressure. If this is the case we will get to know by Friday (In a day or two). If Wave 4 Purple is done (then below (A) green wave is Wvae 4 completion, it will fall really fast in wave 3).
In both scenarios, I believe it will decline further. I've removed indicators from the chart above to provide a clear wave count, but if you use Kiss Bot (Free Indicator on Trading View), you'll receive a clear signal along with some wave logic of your own. This is a weak market, and we shouldn't try to catch a falling knife.
Alternative View for Nifty50
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