Saturday, August 22, 2009
Fwd: TWO OPTIONS AS ON 21.08.09
looking at yeterday's upmove and global markets it seems we have completed downmove which started from 16002 at 14684 . as i had discussed earlier that we may be in 5th wave than this upmove will be third sub wave to be followed by 4th dn and 5th up.
as i had shown in alternative wave count that if we are correcting as Ba-Bb-Bc than we will be on last upmoving sub wave Bc-c. i have shown both options in attached chart.
sensex levels :- as discussed yesterday in 5 day charts first target and hurdle will be around 15500 and on crossing it , next hurdle comes at 16000 prev top.on crossing 16k we may face strong resistance betn 16200-16500 area and valuations will be also on higher side.so i think it will be advisable move to book profits on crossing 16k in investments .
i have shown rsi trend lines also in chart which are helping us in short term moves on both sides which can be tarcked by u on sensex charts easily. as it is always seen in last leg of rally now outperformance and heavy volumes r seen in mid and small cap stocks.care is to be taken that we r not stuck with high valued stocks at end of rally. so necessary strict stop losses r needed.
STOP LOSSES FOR LONG POSITIONS . FIRST AT 15135 AND SECOND 14684.
i will like to remind another bullish option i have been discussuing was 5th wave of first upmove and i had given wave count as below
13220-14493
14493-14170
14170-16002
16002-14684
14684-running
more over as per vivek patil analysis of 7 legged upmove a-b-c-d-e-f-g we might have completed f and we may be on g now to end this bull run.
SMALL CORRECTION: IN CHART WAVES R SHOWN AS d AND e. THEY SHD BE READ AS 4 AND 5 TO MATCH WITH NARRATION.
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