✅ 1. Basic Setup
- Chart Timeframe: 4H (Intraday-Positional Hybrid)
- Asset Analyzed: S&P CNX Nifty Index Futures
- Date of Analysis: 6 August
✅ 2. Current Market Context
- Trend Bias: ✅ Correction in Progress
- Pattern Type: ✅ WXYXZ (Complex Corrective Structure)
- Higher Timeframe Context:
- LT Direction: Still Bullish, but correction mode short term
- Major Support: 24,681 (23.6% Fib) and 24,601 (Zone of multiple wave overlaps)
- Major Resistance: ~25,250 (origin of the last Y wave)
✅ 3. Wave Count Summary
⚙️ Impulse Structure (Before Correction)
- Wave 1–5: Uptrend ended at Wave B (Top)
- Structure: Clear 5-wave impulsive
- Wave 3 appears extended
🌀 Complex Corrective Wave
- Type: WXYXZ (Triple Zigzag/Double Combination)
- W: First corrective wave
- X: Connecting wave
- Y: Second correction
- X: Another connector (shallow)
- Z: Final correction
- C: Ending leg of Z
- Key Note: The structure within the correction shows overlapping waves and shallow retracements, typical of a WXYXZ rather than a simple ABC.
✅ 4. Fibonacci Zones
| Wave | Level | Remarks |
|---|---|---|
| Wave 2 retrace | ~50% (23,846) & 61.8% (23,472) | Relevant for backtest scenarios |
| Wave 4 retrace | ~23.6%–38.2% | Observed overlapping region |
| Current Support | 23.6% Fib = 24,681.05 | Multiple wave-end points touch this |
| Z/C bottom | ~24,600 | This is a critical reversal zone |
✅ 5. Trade Plan (if applicable)
| Setup | Entry Zone | Stop Loss | Target Zone | R:R |
|---|---|---|---|---|
| Long on End of Z/C | 24,600–24,681 | Below 24,472 | 25,250 / 25,600+ | High |
This is a high-probability reversal zone with strong confluence. Candlestick confirmation on lower TFs (15min/1H) would improve entry precision.
✅ 6. Alerts & Invalidations
- Invalidation Level: Below 23,472 (61.8% Fib) would invalidate the current complex correction and imply a deeper structural change.
- Alternate Count: Extended Flat or ABC with C ongoing
- Trigger to Shift: If 23,472 is broken and retested
✅ 7. Chart Attachment
✔️ Attached and labeled with primary + alternate counts clearly.
✅ 8. Notes & Sentiment
- Market Sentiment: Neutral–Cautious
- Volatility: Moderate
- Correlation with Global: US indices currently consolidating, adds pressure.
- Observation:
- The overlapping corrective nature and Fibonacci confluence support the end of a WXYXZ.
- If bounce holds above 24,600, potential new impulse may begin.
🔔 Final Outlook:
Zone of Interest (ZOI): 24,600–24,681
If this holds → Expect Wave 1 of a new impulse.
If broken → Look for 50–61.8% Fib retrace test (23,846–23,472) before fresh entry.