Short term Elliott Wave view on Nifty suggests that the decline to 10004 on Oct 26 low ended Primary wave ((2)). This means that Index has ended the selloff which started from Aug 28 high (11760.20). It is currently either in the process of eventually breaking to new high again or at least rallying in 3 waves to correct the cycle from Aug 28 high before turning lower again.
Up from 10004, Minor wave 1 ended at 10645.5 and unfolded as a 5 waves impulse Elliott Wave structure. Minute wave ((i)) of 1 ended at 10128.85, Minute wave ((ii)) of 1 ended at 10012.65. Minute wave ((iii)) of 1 ended at 10606.95, Minute wave ((iv)) of 1 ended at 10477 and Minute wave ((v)) of 1 is proposed complete at 10644.55. Near term, while below 10644.55, Nifty has scope to turn lower 1 more time in Minute wave ((c)) of 2 before the rally resumes. We don’t like selling the Index and expect Index to extend higher at least 1 more leg higher as far as pivot at 10004 low stays intact. It’s imperative for dips in Nifty to hold above Oct 26 low (10004) as a break below indicates a double correction and can potentially exposes a lot more downside.
Nifty 1 Hour Elliott Wave Chart