Nifty EOD 7.12.2011

W1=4639-4866=227

W2=4866-4755=111

W3=4755-5099* and should do a minimum of 5122(=1.62*W1) to max 5720(=4.25*W1) in 5 sub waves:

And lets try observing the Hour Chart for more clues:

As the above probability has the lacuna of 3rd wave not having the expected sharpness & up-momentum,following probability may also be considered:


As mentioned in the Chart,4th subwave has retraced only 21.2% of 3rd. So it also has some blemish.

So lets have a look at the Daily Charts for some clues:

With such a target and "name"[W3(iii)] we should,logically, expect a gap-up opening tomorrow.

However, today's intraday move was indicating a slowing down of up-momentum and towards the close ,the sharp downmove indicated something else. OR was this sharp downmove in the ending minutes a smart move to trigger the Stop-losses of the Longs? And thus prevent them from profits tomorrow.

Shorts should keep their SL firmly at 5100 and longs should sit pretty as their SL stands at 4916.

Raghu