Market Update - June 13rd 2008

Friends, been quite busy with work and other stuff...this is why I did not post for a couple of days...The other thing is that I had said on last update that market will try to stage a corrective upmove...And I did not see anything for this view to change...which is why I did not post an update..

Today I am starting with the hourly chart...You can see the important lines here...4620 is important resistance right now...If we go above this, we get to 4720/4750 area...But that is the max I am seeing right now for this corrective upmove..



Next heres the daily...Again same viewpoint...different timeframe..You can see how important 4620 and 4730 areas are important in this chart...Write down these numbers if you havent already.

Heres the weekly..Just wanted to illustrate one point here...i.e the weekly stochastics...Meaning unless it turns back up, I do not think it is safe to start buying for longer term...

Now the very long term chart.

This is what I see...For what its worth...

Obviously it is not going to be a straight line down...

Of the major bull run that lasted more than 6 years...

Start at 850 Nifty...End at 6350

Nifty.38.2% retracement is 4333

50% is 3667

61.8% is 3002

Could end at one of above...

At this point I am also favouring 3600 area since A=C approx if that is what it is...

A started at 6350 till 4450 --> 1900 pts

C started from 5300 ---> 1900 pts means 3400 BINGO...Close enough to 3600 give or take...

So let us C...Please note bouncebacks will happen...I expect lets say around 4620...maybe 4750 after which the LAST BIG downside should resume...

Visit this for a refresher(This was posted a MONTH back):

http://theindianmarketblog.blogspot.com/2008/05/elliot-wave-counts-and-ideas.html

Best...And take care...Let the dust settle...There is no need to rush in...