The market has been moving in a falling channel in a 200 point range. Nifty has successfully negated the H&S pattern it formed earlier, so far as, it refused to fall below 7450, thus showing strong bullish sentiment. Though, we have not seen a pre-budget rally, since the market had already vaulted earlier, the budget may have a surprise in store.
The wave count is indicating, we may be in a 3 of 3 count in the Elliott wave with a possibility of rapid move post budget. The following TTO charts shows a possibility of a highly volatile move post budget. The weekly chart of Nifty below shows the trend oscillators are placed in a bullish alignment pattern and a strong up move is likely, once the sideways consolidation is over.
There is lot of money yet waiting on the sidelines, ready to be deployed in the Indian market, once there is clarity about the economic policies of the new government.
