12 Jun 2020 ● 05:27 AM
Nifty and Bank nifty touched the 20dma this morning and found support as did rest of Asia. If this is wave 2 of C/3 up as anticipated then at this level which is also 50% retracement we should have completed wave 2 and now start wave 3 up. Remember for days my down level in the Nifty Daily level was the 20dma, because sometimes for no reason prices do dip to it but do not change the overall trend. It is just hard to anticipate because it does not happen always. So I was open to it but not anticipating a cut this far, however now that we are here the risk reward is very favorable to the upside unless broken below it.
The last level on the chart is the blue trendline from the March bottom at 9456.
|I did not mention the levels
Nity 20dma is at 9570
and Bank Nifty 20dma is at 19381
Daily averages are relevant on a daily closing basis
Trendlines are also used on a closing basis