Analysing BankNifty 5-minute cycle with Elliott Wave: Ashish Kyal

BankNifty 5-minute chart as on 17th June 2020 closing.

The recent event of India-China standoff and tensions over the border has not resulted in any significant change in the trend. Over the short-term, there was a spike downwards but that was also only temporary, and Nifty along with BankNifty recovered back sharply.

BankNifty has been exhibiting very clear Elliott Wave patterns and prices seem to be moving in the form of wave (e). This can be a triangle pattern.

Observe the clarity on the 5-minute chart when most of us are struggling to understand the reason for the selloff followed by a rise.

Over and above that the time cycles on 5-minute chart looks simply superb and if one can time the turn with the Elliott Wave pattern the accuracy will be more astute.

The above research simply shows that by combining time cycles along with Elliott Wave provides forecasting ability along with timing the market.

The overall trend remains buy on dips as long as the important support near 19500 level remains protected on BankNifty.

News or events will only follow the market movement which is leading on most occasions. Trade objectively using these advanced concepts of technical analysis.

(The author is Founder of AK Trading Gurukul / WavesStrategy.com. He could be reached on Twitter at @kyalashish)

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