NIFTY: 5th Wave Truncated by BREXIT ?
Updated
It seems the fifth wave for the overall trend is truncated with an Orthodox top at 8288 abouts. The correction for the whole of 5 wave series may be in progress. The Wave A was not trade able as it was a gap down opening with no clue of where it will end. Normally Wave B should not be traded but as an exception we can trade this to a target of 8150. It should be recognized that the Wave B can rapidly dissapear and hence it should be traded skillfully.
I have initiated the trade at 7972 and waiting for 8150. though it will go a way above that I will happy to bag the cat and wait for confirmation to short the market which can move down. Wave A is a 3 way formation so it could be a flat correction and this means that B could take us up above 8200 as well.
The lesson is re-inforced the best bet for trading such big news to stay out and take advantage of the volatility later. you can make the same profit though you may not get the thrill of a jackpot
I have initiated the trade at 7972 and waiting for 8150. though it will go a way above that I will happy to bag the cat and wait for confirmation to short the market which can move down. Wave A is a 3 way formation so it could be a flat correction and this means that B could take us up above 8200 as well.
The lesson is re-inforced the best bet for trading such big news to stay out and take advantage of the volatility later. you can make the same profit though you may not get the thrill of a jackpot
Trade closed: target reached
Closed the long trade near 8145. Sitting out as wave count for B is nearing completion if it is not extended. Expiry elements to take effect from now. Frankly speaking technicians don't have a great track record on expiry so may skip the following two days and see if there is a shorting opportunity in the horizon to catch C.
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