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| AXIS BANK DAILY CHART |
In the middle of January Axis Bank made a
Low at 367 and from there on until the end of February it remained
in a range which with the benefit of hindsight can now be labelled
as Wave 1 & Wave 2 where Wave 2 is deep - more than 80% and
complex in nature. Wave 3 which traveled up to 545 was an extended
wave and was 262% of wave 1 followed by wave 4 which was shallow and
simple in nature. As the wave 3 was extended wave 5 was expected to
be shorter and it failed to achieve 62% of 0-3 distance in fact it
was tad short of 50%. So far everything fits well in the wave
theory.
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| AXIS BANK DAILY CHART |
Assuming 5 wave completed at 577 a
decent 3 wave decline is expected as in wave 2 / B of higher degree.
Also note that this 5 wave move has crossed the reflex point it
could be the signal to change of trend and fresh buying can be
initiated at the end of 3 wave move down, which can be anticipated at
62% of the whole move or about 162% of wave A as tentatively marked
on the chart as of now which gives us the range of 463 – 447 to
keep watch on.
Happy Trading !
SHEKHAR
