Sir , If we consider the current EW view of triangle "abcde " holds good then other thought comes to mind is , as you often say triangle is generally penultimate state of a move .Does that view holds good for this time , in that case how it will impact the wave count .?I was not ready for triangle today and upmove didn't look like structured impulse so couldn't react fast :)
Sir personally I feel ABC correction is complete with c being truncated and 3.3 seems to have started. Tomorrow's monetary policy will add fuel to the fire and BN in particular may scale new highs.
The one way move after a gap up does not behove of a leg up of a triangle whether it is a d or e wave of elliot Wave.It is more in keeping with a sharp reaction at the end of a corrective in the direction of a trend.Especially a c failure flat Especially with bears taking too much time for what they were doing to take the index down.Indicators macd and rsi dont support yet.A view based on price actions.
End of Day :2-June-2014 :Good Evening everyone...A gap up opening was initially sold with NF in discount - giving impression that we may see new lows, but DLEMA of 7241 was held and ....then bulls charged..50-61% trade was stopped for re-entry and JNSAR was hit within 2 days.So reversrals happened and we saw a huge upmove.OI in NF has reduced -shorts covered ?Huge buying on Friday (sorry Sujhataji for my joke..!! Will never do again !) by FIIs and continued today with another buy of 234 Cr and DIIs as sellers.FII net bought 317 Cr in Index futures as well - BN before RBI Policy ?Index options were also net buy for 1236 Cr ! Huge puts - 13 Lacs added at 7300 while calls were covered at 7200 and 7300 CE.7400 CE added lesser than 7400PE => Some upside capped before RBI polciy tomorrow morning?Now closing 20 pts above DHEMA, above SAR, 34 HRSMA, is bullish ?Support at :7325 , 7300, 7280 (By then SAR reversal)Resistance : 7400 / 7428 before next up ?Lets see...Good night !All the best.
Namaste Ilango Sir & Blogmates, Bullish: The Bulls after being in doldrums for the last 5 days came back strong to close near all time high, with 7300PE writers overtaking the CE writers by a small margin...: Option Analysis for 02-06-2014Dedicated Option Open Interest BlogDuplicated at Wordpress SiteThanks & Regards,Sanjay Kr Jaiswal