Elliott Wave Analysis of Bank Nifty by Vinod Sharma June 22, 2020

Elliott Wave Analysis Report of Bank Nifty for 23 June 2020

Bank Nifty opened higher at 21491, bounced further by more than 500 points to register day’s high 22078
followed by declined till 21611 and finally closed 370 points up at 21708.

Yesterday, Bank Nifty was in positive zone with 21127-20918 and had possibility of further bounce towards
21848-22412 if hold 20918.

Bank Nifty opened at 21491 and bounced to register high 21812. Later, 21391-21131 was fresh immediate
support and 21131 was immediate downside breakeven point and same was updated in live market hours
through whatsapp. Bank Nifty bounced further till 22078 without entering in support and closed at 21708. Now,
let’s have a fresh look at latest charts for further scenario.

This analysis report is covering decline started from all time high 32613 which I am analyzing independently in
my last analysis report Bank Nifty Analysis, Outlook and Important levels on All Time Frame Charts

This is Daily time bar chart of Bank Nifty covering decline after all time high 32613 which I am analyzing
independently.

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 Elliott Wave Analysis of Bank Nifty by Vinod Sharma June 22, 2020

It seems wave [1] completed from 32613-30209, wave [2] may be completed at 31649 as big Irregular
Correction, wave [3] may be completed at 21351, wave [4] may be completed at 25670 and wave [5] may be
completed at 16116.

This impulse completed from 32613-16116 can be wave (A) or (C of Irregular Correction). 38%-61% retracement
of whole wave from 32613-16791 is placed at 22417-26311. So, 22417-26311 are medium/short term resistance
and Bank Nifty is in negative zone as long trading below this resistance.

From low 16116, It seems wave completed from 16116-21462 may be wave [A or 1], wave [B or 2] may be
completed at 17105 and wave [C or 3] may be in progress. Minimum 100%-123% projection for wave [C or 3] is
placed at 22451-23712 which is normal target range for completion of wave [C or 3].

Now, we need to analyze the bounce started from low 17105 separately on lowest possible time frame to
calculate very short term outlook.

This is Hourly time bar chart of Bank Nifty covering bounce started from low 17105 which I am expecting start of
wave [C or 3] on the previous daily chart.

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 Elliott Wave Analysis of Bank Nifty by Vinod Sharma June 22, 2020

It seems wave [1] may be completed at 17672, wave [2] may be completed at 17313, wave [3] may be
completed at 21807, wave [4] may be completed at 19507 and wave [5] may be in progress.

38%-61% projection for wave [5] is placed at 21303-22412 but earlier high is 21807. So, 21807-22412 is
minimum target range for completion of wave [5] if wave [4] is already completed at 19507.

Within wave [5], it seems wave [a or 1] may be completed at 20628, wave [b or 2] may be completed at 20030
and wave [c or 3] may be complete at 22078 or still in progress.

23%-38% retracement of progress of wave [c or 3] is placed at 21594-21295 which is immediate support and
21295 is immediate downside breakeven point.

Bank Nifty is in positive zone with support 21594-21295 and can bounce towards 22412 if hold 21295. But if
breaks and stay below 21295 for more than 15 minutes can result in decline towards 20030-19507 again.

Conclusion and Outlook:-

For short/medium term, 22417-26311 can act as short term resistance and Bank Nifty is in negative zone for
short/medium term as long as trading below this resistance. Major reversal can be expected after close above
26311 only.

Very short term/Intraday, 21594-21295 is immediate support and 21295 is immediate downside breakeven
point. Bank Nifty is in positive zone with support 21594-21295 and can bounce further towards 22412 if hold
21295.

But if breaks and stay below 21295 for more than 15 minutes can result in further decline towards 20030-19507.
We need to keep all these in mind while deciding next trade.

Note: The pattern of bounce after 16116 and the pattern of decline after 21807 is complex and there is always a
low confidence when pattern is complex. So, we need to concentrate on levels and outlook based on the
pattern of bounce after 19507.

Trading Strategy:

1. Low risk trading strategy is to buy on decline in 21594-21295 range using stoploss below 21295 on 15
minutes closing basis expecting 22078-22412 as upside target. Hedged trade is recommended because
closing basis stoploss can be risky, exit trade if Bank Nifty spot trades below stoploss for 15 minutes.

2. Bank Nifty if breaks and stay below 21295 for more than 15 minutes then trading strategy would be to
Sell on bounce in 21295-21594 range using stoploss above 21594 on 15 minutes closing basis expecting
20030-19507 as downside target. Hedged trade is recommended because closing basis stoploss can be
risky, exit trade if Bank Nifty spot trades above stoploss for 15 minutes.

I am suggesting 15 minutes closing basis stoploss because exact stoploss may not work in such volatile
conditions in Complex Pattern.

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 Elliott Wave Analysis of Bank Nifty by Vinod Sharma June 22, 2020

Further, we will update about the formation of any important internal pattern or any change in
trend/pattern/important levels or fresh support/resistance/breakeven point during market hours by WhatsApp
Broadcast to all my “Bank Nifty Live Updates” subscribers.

Disclaimer: This analysis report is just for outlook, probabilities and expected markets behaviour based on my
personal Elliott Wave Analysis. Any trade based on these reports is solely your decision. I will not be
responsible for any trade, loss or profit.

Contact me:
Email: ewavinod@gmail.com
Call: 9596937929/7889586728s
WhatsApp: 9796033671
Website: www.ewanalyst.com

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 Elliott Wave Analysis of Bank Nifty by Vinod Sharma June 22, 2020

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