Aurobindo Pharma 22-07-2016

News in business-standard.com : Hyderabad-based Aurobindo Pharmaceuticals is planning to raise funds via a share sale to fund the acquisition of Israel-based Teva Pharmaceutical’s European assets, if its bid is accepted by this month. More here:

Now let us look at the chart of Aurobindo Pharmaceuticals. It appears it had completed a massive up move which topped around 892 region. Then followed a clear 5 wave down move (as per Elliott Wave analysis). This down move can be marked as either A or 1. Then we saw a up move 830 region. Again a minor correction in the form of clear a-b-c wave. Again a up move has commenced. The overall structure appears like a corrective up move for the fall from 892 to 580 region. If yes then this upmove may face resistance near 870 to 900 region and next set of down move may start. Will it happen this way?

Daily chart of Aurobindo Pharmaceuticals:

Cipla Elliott Wave perspective

Cipla seems to have completed a multi month correction pattern A-B-C at the low of 457.45 in May 2016. If this low holds in the upcoming days, then this view is valid.

Further on it is going up in 5 wave pattern so far. It may face resistance near 546 range. That is where this minor 5 wave pattern is expected to complete its 5th wave. The correction pattern that will commence from then on wards will give important clues on the future days. If that correction can hold itself to any price above 457.45 then the next set of 5 waves for the major 3rd wave will commence. Well for now we will be watching this closely.

Cipla daily chart:

United Spirits Limited possibly completed a triangle formation in daily chart

A triangle observation in USL (United Spirits Limited) in daily chart. If the low observed ysterday 2360 +/- 30 points is maintained then this may see nearly 300 points up move. The overall structure seems to be like a-b-c correction for the entire fall.

Daily chart of USL

Nifty intrady observation 12-07-2016

On a daily 9 RSI chart Nifty appears to be forming a -ve divergence. Now we need to observer hourly chart.

On the hourly 9 RSI chart also we can see it is ready to form -ve divergence if market closes below 8500 at 10am and then starts come down from that point. Now let us observe 5 min chart.

In a 5 min chart Nifty appears to have formed a 5 wave up move starting from 8288 to 8503.45. A breaking of 8443 which is the end of 4th wave will confirm this. Or breaking of 80% of the up mvoe from 8443 to 8503 at 8455 will give clues to this view.

On the contrary a move above 8503.45 will negate this view.