Super Bounce...What Next?

What a rally...I got up today morning and looked at my screen and could not believe my eyes...lol..Being so used to seeing -4 and -5 % down for past few days, couldnt believe 5% rally...Nice...SO...What next? Are we done here?

I think there is some more pain to come to the downside...Why? Because the EWT structure is suggesting one more low..I have atonated this in one of the charts below...Now pls note that this can be a higher low also even though unlikely...I think we should target 3600 and 3550 in coming few days..After that what can happen?...We will test this bottoming area several times over and over...Thats the only way a bottom is formed...We will pick up but I think now we need to start looking at some good stocks to pick up...Looking over past fews data some stocks that really stand out to me is NTPC, INFY, RELPET, RELIANCE, BHEL and some others also but these look real good...Wait for some more pullbacks to buy OR buy more...

Okay now see the EWT counts on the daily I have tried to do...Dont take this as exact..EWT is just an attempt to try and determine possibilities...For trading we have to rely on other tools..


Okay having said that, we are in the last waves of the last wave...See A, B, and C has completed
4 waves; The fifth however extended...And out of this the 5th should start soon..Probably today..This targets 3600-3550 area...Also note this is the bottom of the channel - the doomsday channel as I have referred to it in previous posts :) .. Not sure if we get that far down even though its very very likely...But I feel we can confidently buy the panic lows that come within the next week or so...

Now the weekly...Several times I have mentioned how the weekly stochastics are a good longer term top and bottom spotter...As you can see...Almost there but not quite...We can wait for it to cross over...Before jumping in all out! ;)

Best.