Elliot's Impulse waves.(Part-5)
IMPULSE WAVES :- The Basics Waves that move the market in the direction of its main trend either up or down are called Impulse waves. 1....
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5010-5039 supply zone proved a ST resistance. 5002 proved a break down point. 4945 to 4982 proved a corrective rise, monitored with an ...
55 comments:
@ krish pm,
Price confirmation:
We follow mostly the "5-period average/ Ema" as shown in the Tech.Table( TT ) for confirming the price action for a trend.
Being stuck between "HEma & LEma" would indicate "Sideways Trend".
Follow the latest signal.
Give more weightage to the signals of higher T/F.
Understand & identify "exhaustion zones" and start booking out.
Good morning ilango sir & blog mates
latest signal....hourly up with momentum and ns sustain above dhema till now. first weakness signal is sustain below dhema
Follow up on -ve hidden div.. opend short with hrly close sl 5823..revised tgt is as per chart
http://www.wikisend.com/download/150904/NIFTY-hidden%20div%20-.jpg
Namasthe ilango sir and friends,
Today's quote received :
"Water is the softest thing, yet it can penetrate mountains and earth.
This shows clearly the principle of softness overcoming hardness."
~ Lao Tzu
Atharva: When price goes up, RSI goes down (negative divergence), when price goes down, RSI goes up (positive divergence).
For new comers do not follow this. This is all educational purpose only.. till price does not close above 5823 hrly basis the set up is valid this is my understanding
Dear Rajapvt: thanks would love to share write up on this..putting it in JN group.. Do have a look at it..
Sir ILango ji kindly update how exhaustion zones can be identified thnx
GM Master & JN family,
The hi-FreQ oscillator has moved a lot w.o enough price action .... Bulls need to conquer 5820-36-47 ASAP, else slide will begin !
Have a gr8 day
hello friends
was away for some time.
nifty resisted at 10AMA (5817 running) which became flat from downtrending s/o sideway moves(as suggested by TT), now nifty must cross middle CultC (5840) and MBB(5848), same as 5WEMA. only thing positive is stochRSI(14,14,5) in day t/f is above 50 so suggestive of positive bias. nifty taken support at weekly low KeltC (5667) and now must close above middle keltC(5812) weekly stoch RSI which was 0 since last 3 weeks now above 20mark, but still not triggered. aage aage dekhte hai kya hota hai.
for people interested in HA
HA suggest uptrend yesterday itself when nifty HA open-low same at 5721, for today HAopen-low same 5738, still weekly candle is down...ha open-high same at 5852.
thanks.
@Master,
For Example, when Nifty is in downtrend, the price is below the DLEMA But it Breaks the last 2 DAY HIGH WITH DIVERGENCE IN DAILY TF.
For the above situation, Taking of 2 day high breaking for price confirmation is correct or wrong ?
a small bearish WW developing
trgts near 5797
near 11am
cmp 5812ns
STOCK4SURE, CAN YOU PLEASE EDUCATE US ON HOW DO U FIND THE BEARISH WW DEVELOPING ? THANKS
SN
@ krish pm ,
When prices are below DLEma, the trend is to be considered "Down".
Only when the prices move above DLEma & clear 2 day-High, 1st step in reversal may be said to be in place. However, one needs to be cautious with a small SL in early stages of reversal especially during intraday. Hence, we often suggest for EOD prices to close to confirm price action unless some compelling technical reversal patterns such as candle reversal or divergences emerge.
Ilango,
When you are taking short position on JNSAR.....you renter short @ 21/34 sma.....but today you have not shown short @ those sma..in your JNSAR strategy..it would have been like that you have taken short and after JNSAR hits @ 5776 ...there would have been your sl.....but you have shown different...what forced you to not take short @ 21/34 sma y'day?
One more you practically trade on this pattern or what you showing is only as academic and actual trade strategy is different (conservative or any other whatever may be).....
Dear Ilango Sir & Blogmates,
OI Table Update at 11:00AM, Pivot-5780, S1-5752, R1-5831, ATP-5824, VWAP-5823
The PE writers are in command with huge addition at 5800-5600 level, staying below 5800 looks remote for the day…
Thanks & Regards
Thank you Master.
DR sir
http://www.24hoursloot.com/img/quote/3e9eb85f090e3192447acc971ca86d01.jpg
@ Marketman
Here is your answer.
March 5, 2013 at 1:41 PM; Ilango said...
@ Abhi,
When Nifty opens comfortably above DLEma & 21 hr sma, intraday traders should start to have +ve bias.
We suggested strength above 5739-49 resistance wherein 34 hr sma is positioned.
When you combined Technicals with these price action, an aggressive trade emerges and these are meant for "Intraday only".
EOW should confirm a close above 5762 to signal a weekly pause.
Prices moving past DLEma @ OS conditions takes it towards DHEma+10-20 pts..
March 5, 2013 at 1:41 PM
stock4sure,
please respond to my request. I know, you are not asking us to short @ 5812 for a target of 5797, but how do u form this view ? Thanks
SN
Sanjay Jaiswal said :- staying below 5800 looks remote for the day…
shriram ji - advance sugar ghee to you pls. do that atleast upto 760 onceagain??? so that nifty will move up again to cross the budget high and some more ++++ but problem is mkt will give "occasional decline" :(
nilesh ji - nifty future 5838/871 that's all my target abve that i don't hv anything. i hv 2 switchover to SPOT nd trade "option: is the only "option for me' if my future level crossover happens "
Sandeep......5739/49 was resistance.....and though long it was for intra only as he said......and EOD price confirmation was far away from those SMAs..(nearly 40 points...and 4 hours away)....so based on this one must/might/have--would have taken short @ those SMAs...and strEngth was confirmed after 2 hours of trade ..it was 3rd hour y'day when Nifty hits 5762 high....for first 2 hours high was around 5740.....means at resistance ..which will force any follower of this strategy to initiate short...and taking SL at JNSAR
Wednesday, March 27. Holi festival 2013
I know little so asking Ilango to clear my doubt....I just want to know whether this is practical trade ot only Academic point of view.....
Good Morning Ilango Sir and Friends.
@SN, S4S Sir is advising based on Wolfe Wave patterns.
GM Master,
Fall from5850 to 5664 taken 15 hr but rise so far to 5821 taken 15hr so fast retracement is not there.
does this not indicate this rise corrective as time taken is larger as compared to fall?
JNSAR followers how you all handled it y'day?
Marketman,
Aggressive or developing JNSAR long triggered yesterday and if not taken it was long at today's open. Depending how you trade. But when ever taken should be managed with 20 points filter.
hahah.. suja, if u permit NS will put some idli to 5770 on menu now,
shud not cross > 836 for this view to come true
anmpatel Sir, Nice one regarding HA. Btw, we are now in icloud in hourly.
@ mmarketman,
Nifty Pre-Market View.
"5739-5749" is the resistance zone while "5664-5674" is the support zone as shown in the chart.
This is based on pure "Price study".
"5724" is the 80% for the fall from 5739 to 5664.
= = = = = = = = = = = = = = =
When prices opend above "5724", it would mean that the retracement is for a larger fall...thus a larger retracement.
Other factors that discouraged to take "JNSAR Shorts" were:
Prices opened above 21 hr sma and stayed above it.
Prices opened above DLEma and stayed above it.
Prices subsequently broke thru' "5749" and never retraced below it.
Weekly lead indicator @ oversold zone for 2 consecutive weeks.
Daily lead indicator @ oversold zone for many days.
9 period day rsi showing +ve div.
I'm sure with experience, you'll be able to avoid taking certain "resell or rebuy" trades based on exhaustion & "Low risk-reward".
Even if you did take a short trade @ 5749, you would stop it @ 5769... a 20 point SL. This loss would have been made up with the "Long taken @ the next day's JNSAR". Enough suggestions were there.
Debdeep...agree....I am asking about 21/34 sam.....why Ilango not taken short there ( @ 5740 around those SAMs..which signaled him to stop from taking short...which is his routin practice).......and taken SL at developing JNSAR @ 5776...
Ilnago ..thanks....no problem of loss or any ..as in mechanical trading its part of it.....
Master,
the oscill. telling another story for this rise, would it be prudent to short with Static WkEMA as SL ?
@mmarketman
below 21 & 34 hr sma, weakness
between 21 & 34 hr sma, indecision
above 21 & 34hr sma, strength
simply put
Just follow Day JNSAR to begin with, you will get more clarity.
But again question.....if it was strong that no short or renter for positional JNSAR short..then why you kept earlier remaining1 lot open to hit new jnsar....had you squared off at 5740..you would have saved 20 points loss and morover would have got 20 points profit.....as you shown -20 in you position table in premarket view
@ Master Where could corrective 'C' end for Tatamotors????
@ shriram,
Prices are in the resistance zone of 5823-42.
Key 20sma @ 5849; 61.8% retrace @ 5854.
Hour in OB zone but yet to show signs of weakness. Weak below 5808.
5833 R2
tks master :-)
5808 may be tested near 1.00pm
huge addition in O.I in 5800pe
but unwinding nor started in 5800ce
seems tight range till 2.30
Follow up sl got saved by 1.70 pts.. let u where this hr closes..
Last month retracement to 5971, we went up JNSAR+50 points, this time 5777+50=5827, is this over?
@ mmarketman,
"Tinkering" is alright when you are reasonably experienced.
But changing even the 2nd lot would lead to confusion among many followers of mechanical trading. Hence, we bite the bullet.
Often, readers question me...this is just an academic excercise and not possible to trade.
Take the kindergarten books to read all that was drilled into us day in and day out in the form of rhymes and petite stories; how many have retained them. As one grows, compromises start to set in as "ego takes over" at adolescence itself.
You keep the ego out. Have faith in a number; it'll show results.
As Ralph.N.Elliott says,
"Fault lies in our perception, never in the Waves".
Similarly, this number helps one to take a "Long" or a "Short", though it isn't a holy number and it has many whipsaws in a sideways market. We overcome them with "Part booking strategy".
@sathishji. Your Input please. where are you ?? Missing you on JN blog.
@ sudharsan,
I wish anyone knows that answer.
All we could do was to capture the chunk using TT and retrace table.
"Trailing" is another way to capture the chunk of the move. And when choppiness sets in, avoid trading in that "choppy range".
First three lines..i got it.....
so you have a practical trade yesterday in conservative pattern as well as JNSAR....right????
New Post Done.
@MASTER,
You had mentioned earlier/past that wave3 comes near 1.618 so sit tight with your trade,
and also indicate a bearish flat is much bearish in chart than how to change your mind at this time???
Ilango said...
Have faith in a number;
March 6, 2013 at 12:19 PM
That's the easiest lesson and toughest to learn !
"Hour in OB zone but yet to show signs of weakness. Weak below 5808."
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