Brace for a Volatile and Weak Nifty !!

Nifty will do well to protect the all important level of 10,000 tomorrow post state election results, a poor performance of BJP in poll bound states will give direction to market as we approach the 2019 elections.

Looks like an imminent bearish pattern , the H&S neckline on the weekly charts is placed at 10,000 and a breakdown below, could open up target of 8260 for Nifty in the coming months.

Nifty Weekly

On the monthly charts looks like we are in the midst Wave 4 after completing Wave 3 which ended at 11,760. Read in conjunction with the H&S target the target for Wave 4 indicate a possibility of Nifty heading towards 8200 levels.

Nifty Monthly