Friday, August 03, 2012

Home / HDFC / Stocks / HDFC - Elliott Wave Analysis

HDFC - Elliott Wave Analysis

by on in ,
Weekly Chart
This is a weekly chart of HDFC,  I was tracking this particular pattern in HDFC since a very long time. Many times in between this pattern I thought that we have completed the wave {4} correction and are now our way to the {5}, but every time I got the same response from prices, that the correction is not done yet. Finally after almost 2 years it seems we have completed the correction, and should not be rallying in wave {5}. How the broad market plays out, and affects the last wave in this stock will be very interesting, but one thing we can be sure of, we can buy every 3 wave pullback in this stock for some time to come. Once again I would state that, this is a weekly fractal, and much patience needs to be exercised while dealing with this stock on lower fractals. But if we trade patiently and wait till the 3 wave pull backs are complete, we can find may profitable trades in this stock in coming days, if broad market supports, we may see nice albeit last rally in this up trend in this stock, recall, triangles precede the last wave in a pattern!
Daily Chart

Author Image

About Dean Market Profile
Dean is a fulltime trader for last 13 years. He is passionate about technical analysis. His instruments of choice are Nifty and banknifty futures and options. His main analysis and trading tools include advanced techniques like Market Profile, Voilume Spread Analysis and Order FLow Analysis. Dean is a teacher at heart and loves sharing his learnings with committed traders. You can check out his courses here...

You May Also Like:
By at
Categories: ,

4 comments:

  1. Harsh Dixit3 August 2012 at 14:44

    Hi Aniruddha.

    Since the 3rd of 5th is Shorter than 1st its little Risky to play for the 5th of 5th Wave Up.

    As it will be shorter than 3rd and it might also Truncate.

    Its better to Play for Next Huge Correction after the 5th of 5th Ends..

    Thanks & Regards,

    Harsh Dixit.

    ReplyDelete
    Replies
    1. Aniruddha Deshpande4 August 2012 at 10:37

      Dear Harsh,
      I am a bit confused none of the 3rd marked on the above charts is shorter than the 1st. I agree with you regarding playing the correction, but still it would be helpful if you can point out exactly which 3rd wave is shorter than the 1st.
      Note: I use log charts for bigger fractals, on those many a times 1st waves look longer than 3rd waves but in fact are not.
      Regards
      Aniruddha

      Delete
  2. Harsh Dixit4 August 2012 at 22:38

    Hi Aniruddha..

    The 3rd wave on 1 larger Degre marked in Red is looking Shorter than 1st wave.. It might be because of log Scale..

    yes But i would still prefer to play for the next huge correction..

    Thanks & Regards,

    Harsh Dixit.

    ReplyDelete
    Replies
    1. Aniruddha Deshpande6 August 2012 at 10:33

      Yes Harsh,
      It is because of the log scale. I like the way you are very sure about picking your trades. That is a very good thing, picking your battles is as important as fighting them.
      Best of Luck to You.
      Aniruddha

      Delete

...I am thrilled to learn what you think about this piece of content...

Subscribe to: Post Comments (Atom)