Hiee friends,
As most of you know elliot wave is one of the most important tool in analyzing stock indices. Currently I am trying to figure out nifty's position based on elliot wave principle and I need your help regarding the same.
Nifty started its upward movement in May 2003. The first elliot wave was from May 2003 to January 2004. The second wave was from Jan 2004 to June 2004. The third wave started from July 2004 and went on till February 2007. The fourth wave was from Feb 2007 to March 2007. And then the fifth wave started from April 2007 and went on till January 2008.
From mid Jan 2008 the downward trend started. The first downward wave was from mid Jan 2008 to March 2008. The second from mid March 2008 to early May 2008. And then the final third wave started beginning mid May 2008. It reached the bottom (as of now) on 16th July 2008 at 3816.7. And since then it has started going up.
The main thing to consider is that technically speaking nifty should bottom out at around 3550-3600 (the end point of third downward wave in a downtrend must be at the same level as the end point of fourth wave of uptrend). But as we know this thing is not absolutely necessary, there could be some room for error margin.
So the main thing that's bugging me is this: Is the downtrend of Indian market over? Taking general view it seems that market won't start uptrend until government gets into election mood. My thinking is that once election campaigning begins politicians won't allow market to fall as their own money is involved in stock market. Also, around the same time Obama will be elected as the president of America so things just might start going great for US too.
So should we begin buying heavily or is the bottom-ing still left and market will reach about 3600 mark in coming months (august/september)?
I am really looking for an elliot wave expert to tell the answer. Plzz help.
As most of you know elliot wave is one of the most important tool in analyzing stock indices. Currently I am trying to figure out nifty's position based on elliot wave principle and I need your help regarding the same.
Nifty started its upward movement in May 2003. The first elliot wave was from May 2003 to January 2004. The second wave was from Jan 2004 to June 2004. The third wave started from July 2004 and went on till February 2007. The fourth wave was from Feb 2007 to March 2007. And then the fifth wave started from April 2007 and went on till January 2008.
From mid Jan 2008 the downward trend started. The first downward wave was from mid Jan 2008 to March 2008. The second from mid March 2008 to early May 2008. And then the final third wave started beginning mid May 2008. It reached the bottom (as of now) on 16th July 2008 at 3816.7. And since then it has started going up.
The main thing to consider is that technically speaking nifty should bottom out at around 3550-3600 (the end point of third downward wave in a downtrend must be at the same level as the end point of fourth wave of uptrend). But as we know this thing is not absolutely necessary, there could be some room for error margin.
So the main thing that's bugging me is this: Is the downtrend of Indian market over? Taking general view it seems that market won't start uptrend until government gets into election mood. My thinking is that once election campaigning begins politicians won't allow market to fall as their own money is involved in stock market. Also, around the same time Obama will be elected as the president of America so things just might start going great for US too.
So should we begin buying heavily or is the bottom-ing still left and market will reach about 3600 mark in coming months (august/september)?
I am really looking for an elliot wave expert to tell the answer. Plzz help.