DLF shows huge promise for bulls. But, it presently seems to be in a 4th wave corrective, which has been depicted very simply in the chart below but can confuse the hell out of best of the ellioticians.
Update of DLF as on Holi day : 27 March 2013
The chart is posted below and I must admit that I used some vibrant colors on the chart to symbolise the festival of Holi:
As I perceive, the green line from point 2 (in blue) alongwith LTL of blue APF should provide support to this fall, which I am assuming to be the 3rd fractal of an expanded corrective. Broadly, we could also see a Wolfe wave forming, which is marked with blue numerals. 5th of this wolfe should go above yellow UTL close to T2 on the right corner of the chart. The perception of an expanded corrective needs to be thrown out of the window, if and only if, the price falls below green LTL and sustains in red zone. My perceptions of the future moves in DLF are based on the blue and + purple APFs alongwith WW.
Pessimistically, I am expecting a rise through C (which may morph into 3rd) after the fall is done. Target for C could be near 300, but if it turns out to be 3rd, it may well go towards 400 zone. If and when it crosses above upper yellow line (without crossing the lower yellow line, which will make the WW invalid) , the upper yellow line will become the pivot and longs can be retained with SL inside the upper edge of the amber band.
The Trade Setup
For Bulls: Long as close to 217-220 band, with SL below median line of brown APF initially (which could be shifted to just below the LTL of blue APF once the price stabilise in yellow band) for a target of upper edge of amber band and beyond yellow UTL.
For Bears: Shorts can be initiated close to median or UTL of purple APF with SL above UTL of purple APF for a target of LTL of purple APF. Not very convinced of this one but if it happens, DLF may land up close to the green line drawn at right bottom corner of the chart. Ideally a short at 252 with SL 255 (adhoc) and a short at 280 with SL at 282 for a target of 180 gives a good risk reward setup.
Update of DLF as on Holi day : 27 March 2013
The chart is posted below and I must admit that I used some vibrant colors on the chart to symbolise the festival of Holi:
As I perceive, the green line from point 2 (in blue) alongwith LTL of blue APF should provide support to this fall, which I am assuming to be the 3rd fractal of an expanded corrective. Broadly, we could also see a Wolfe wave forming, which is marked with blue numerals. 5th of this wolfe should go above yellow UTL close to T2 on the right corner of the chart. The perception of an expanded corrective needs to be thrown out of the window, if and only if, the price falls below green LTL and sustains in red zone. My perceptions of the future moves in DLF are based on the blue and + purple APFs alongwith WW.
Pessimistically, I am expecting a rise through C (which may morph into 3rd) after the fall is done. Target for C could be near 300, but if it turns out to be 3rd, it may well go towards 400 zone. If and when it crosses above upper yellow line (without crossing the lower yellow line, which will make the WW invalid) , the upper yellow line will become the pivot and longs can be retained with SL inside the upper edge of the amber band.
The Trade Setup
For Bulls: Long as close to 217-220 band, with SL below median line of brown APF initially (which could be shifted to just below the LTL of blue APF once the price stabilise in yellow band) for a target of upper edge of amber band and beyond yellow UTL.
For Bears: Shorts can be initiated close to median or UTL of purple APF with SL above UTL of purple APF for a target of LTL of purple APF. Not very convinced of this one but if it happens, DLF may land up close to the green line drawn at right bottom corner of the chart. Ideally a short at 252 with SL 255 (adhoc) and a short at 280 with SL at 282 for a target of 180 gives a good risk reward setup.
4.B.a could be over or may be another small pop above today's high would finish it. 4.B.b should follow for 260 or so.
ReplyDeletePlease up-date on DLF now .
ReplyDeleteDear,
ReplyDeletePlease up date of DLF as of now.
Updated.
ReplyDeleteThank you very much
ReplyDeletePlease update on DLF
ReplyDeleteDear SK, I have posted an update at http://niftytradesetup.blogspot.in/2013/06/dlf-on-16-june-2013-reaching-possible.html
ReplyDelete