Nifty 50 - Top in place at 7,807.50

Nifty 50 top in place at 7,807.50

The rally over the last week just took a few hours to wipe away, this is a classic sign of a trend reversal. The critical level at 7,661.40 was broken as was it made up of hot butter and the next support at 7.577 has been penetrated, but really broken yet. However, I do think it will be a matter of time before this support will be broken too for a continuation lower to 7,441.65 and break below this support will firmly confirm the top.

I think that we have seen a long term top at 7,807.50 ending not only the rally from August 2013 at 5,118.65, but also the larger rally from October 2008 at 2,252.75 and that a correction to at least 6,360 should be seen. A break below this strong support will call for a much deeper correction.

Short term I will be looking for resistance at 7,464.05, which ideally will protect the upside for the next decline.

Hani
2014-06-06
I have been a fan of you blog for several years!
I am so impressed at your renewal.
Elliott wave analysis is so difficult to me, but so interesting and useful.

Thank you
Hani
Jonathan
2017-10-24
Your work is exceptional and glad I found you.
Duane
2014-05-26
Great job this week!! Wish that I had more capital to capitalize on all of your great calls! The ones that I have managed to catch have been extremely profitable. I really appreciate you sharing you v...