Is this beginning of another correction in IT stocks ??IT stocks are majorly dependent on US market and Nasdaq plays a major role in movement of IT index, so thought to have a look on NDX and the pattern it looking is pretty bearish. Though index is trading at support but if this index failed to hold level then we may see good selling pressure. currently there are 3 negative patterns the index is in.
1. Inverted Cup - Negative
2. Inverted flat - Negative
3. LL - Negative
Niftyitshort
Case 2nd in NIFTY IT wave analysisCase 1st can be found here
Case 2nd: If you see the market goes below 32438.25 means the wave-C is itself as a complex correction and the market will go down more, this view will remain same until the market goes above the 36815. Chances are very high that the wave-C will be a complex corrective pattern. If you have any question you can ask.
TCS Following FibonacciTata Consultancy Services moves in a channel upwards, then retraces, exactly to 78.6% basis Fibonacci.
If TCS makes a recent top, you can get short opportunity all the way down to 78.6% irrespective of what NIFTY IT does.
Wait for the top, and breakdown from channel before entering trade. Keep trailing stop loss after every day.
Nifty IT Will it Break Down...... ????Observations: For time horizon of next 1-2 Months.
Nifty IT has been trading in an narrow range from past few days. CMP : 14500 Levels
Trend : Not Sustaining at upper levels... Likely to drift down if Closes / Breaks below 14300
Strategy: Keep Selling on every rise to 14600 - 14630 Levels
View negates if closes above 146650 Levels
Options: 14200 PE looks like a profitable bet.
Monthly Chart of Nifty IT@jagrut
Monthly Chart of Nifty IT
The index is trading in the Channel Pattern since April-2019 to till date. Similar pattern was observed from March-2015 to Nov-2016.
Both the Channel pattern has been shown in the chart.
Then outlook for the index in coming year looks bearish.
On Monthly chart the index is trading in Channel as shown in the chart.
For education purpose