Nifty(4805.10): Did the counter trend rally end at 4866? Here is the wave count on the hourly chart.
Nifty has failed to cross last week’s high of 4873. Unless, there is another three wave correction (see chart), we may have to be open to the prospect that the upward correction was too weak and ended at 4866. If the market is undergoing a double three correction, Nifty should not drop below 4725. If it does, this would be another indication that wave red 4 ended at 4866. So today’s intraday moves are going to be important and as long as Nifty stays below 4866 we will have to keep the option that red wave 5 has started a possibility. Once 4866 is crossed, Nifty is potentially on the path outlined( a double three) on the chart and the resistance at 4905-30 and 4980 would be the target zone for the rollover.
Silver: Short @$34.2 stop $33.5 partially booked at $31.4
Apollo Tyres: Long @64 stop 59 Tgt 71
Heromotors: Short @2025 sl 2130 Tgt 1900 (keep it flexible, will alert if the position needs to closed)