Monday, August 4, 2014
FII's have started to sell for the last 3 days, after 9 days of buying- a resumption of consolidation within the major uptrend.
Prices, in the short term, have closed below the two key ST averages. (As long as prices close below these, technicals remain weak; only a close/sustaining above it would reverse the ST trend)
The ST direction is "biased DOWN", as long as prices stay below 7721 & close below these two key averages (21 or 34 hr smas).
The strategy that has worked consistently well with low risk-high reward ratio is "Initiating a trade at 50%-61.8% retrace with 80% as SL". Adapt to it.
Aggressively Holding below 7656-70(50%-61.8%, DLEma,Wk.Pivot, 20DSma), Conservatively Holding below 7721(61.8%), downtrend continues....
Aggressively Holding above 7628(WEma), mild strength possible....
The 4th wave debate has been explained with the chart below..