Further Downside in Maruti ??

 Chart update (April 8, 2016) :

Maruti resumed its downtrend to retest the recent lows of 3200 or maybe further down to 2900.

Maruti Weekly

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 Original Post (March 8, 2016)
In our  post dated January 2, 2016,  we had predicted Maruti to touch  Rs. 3550 when the stock was trading  at Rs. 4000. Even earlier as far back as October 1, 2015 we had indicated a topping formation   on Maruti at Rs. 4700.
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View post :  http://eqtrend.blogspot.in/2016/01/how-maruti-topped-out-in-october-2015.html

The stock is presently trading below Rs 3500  levels and is  extremely weak on the charts with no signs of revival.

In a deep correction stocks tend to correct till the low points of the first divergence. Maruti seems to have reached the corrective target and consolidate here for the next move.

However, the short term strength need to propel the stock above Rs. 3600  and the gaining momentum above Rs. 3900 for a long term change of trend.

If the weakness continues, and the stock  is not able to surpass the first target of Rs. 3600, it may head for further lower levels of  2900.

Maruti Weekly

Nifty : Probable Elliott Structure

The following charts indicate the probable Elliott wave structure for Nifty on daily, weekly and monthly charts.

Though the double zig-zag pattern seems to have completed with the present wave structure  (which are subject to change) the following points need to be considered :


 1.Nifty made a double bottom at 6965 on daily charts, with divergence giving an immediate upside target of  7510.

2. Nifty has formed a minor  island reversal  at 8250 levels, which needs confirmation.

3. The weekly and monthly charts continue to be weak with no divergence on the monthly charts.

4. Nifty needs to close above 7900 to confirm a long term trend change along with divergence on long term charts.

5. Long term trend change will be confirmed with the trigger (yellow dotted) line crossing over zero on the monthly charts. The trigger line on TTO has been a reliable indicator of trend change in the past and as can be seen on the monthly charts, the trigger line is at present way below the zero line.

Nifty Daily

Nifty Weekly

Nifty Monthly