18 Sep 2020 ● 01:39 PM
Position Sizing model - Long % = percentage of indicators bullish v/s Short % = number of indicators bearish, Including both daily and weekly time frames.
Nifty ended with a marginal loss but no change in view, wave iii of iii up is next. We closed above the 20dma at 11470, daily weekly momentum is in buy mode. Next move will again attempt to go past 11560 and then go toward 11800.
The 11460 level at the horizontal line comes from the swing high on 19-Aug, but it is also now near the 20dma and the reverse parallel channel of the highs of last week. We went marginally below the channel intraday but closed well above it with a hammer candlestick as bulls came in. So the correction to the lower channel line is done and now from 11460 we should to to the top channel line at 11675.
The swing came a little lower to 43.
Bank nifty broke then previous low so the running flat count is in question. So the only thing to do is wait for more data than keep guessing the next best wave count on the bias that nifty will rise so bank nifty has to do so too. The lower low in bank nifty can be seen as a short term bullish inter-market divergence with nifty.
Bank nifty wave count may revert to the one below if we get a bottom here. This was my count a week ago before I changed it and it will hold true till 21403 is not broken because that is where the second wave 1 started.