Aug 182011
 

ELliott Wave Analysis of IDBIEven if you have no interest in trading INdian stocks, you have something to learn from these posts!

Sometimes, a chart almost screams out a sell, and IDBI was one such stock back near the highs. (Rememebr my video on TCS and stubborn bearish calls despite all the good news that was coming out then? Well, this is quite a similar story).

Elliott Wave Analysis of IDBI, a stock that trades on NSEI, would have given you tremendous confidence to be short near the highs and to hold on to you position for the great run to the downside that we are still experiencing. The stock has approached a short term support here, (being near a prior 4th wave) but any recovery is going to be short lived, as we will almost certainly continue down to the INR 93 levels. Use any recovery towards 112.50-00 levels to sell and sit tight for a few sessions. (stop above 114) and you should be smiling afterwards. Good luck.

  19 Responses to “Elliott Wave Analysis of IDBI Bank, India”

  1. Hi Sir,

    I would like to understand the wave count in IDBI bank. As per the elliot rule, wave3 should be largest wave among the waves 1,3,5. As per the chart rule is not matching. Please help me to understand this.

    meena.

  2. I am new to stock market.As i went through your writings i found that you have mentioned lvl 4800 for nifty.Now i would like to know whether proper time has come for investing or should i wait some more time.Your advice at this juncture will be helpful to me

  3. congrats sir. eagerly waiting for your book

  4. i am a huge fan of your site….sir plzz take a luk at a chart of bata india and titan . they both have been darling of indian stock market ….your precious analysis needed
    regards

    • Hi Sunny, thanks for your comment. Unfortunately I receive numerous requests such as yours and as I have a full time job it would be impossible to analyze these charts. Good luck!

  5. Hi Ramki,

    Heromotors seems to be a super example of many important things you have said in your book. Double retracement after 3rd wave extension(weekly). Here the 5th on weekly also seems to be extended and considering today’s breakdown, potentially a move to 1400 and small change coming? Did I get it right? About to make me rich? :)

    Best regards,
    BJ

  6. BJ & others, Re Hero Motors Wave 3 finished at 2094, wave 4 at 1372. What followed was not an extended fifth wave, so you will get rich slowly! I see some support at 2030 now.

  7. Sir, Congrates to you. Your prediction for IDBI is 100% true now.
    its 52 week low is 93 and it has not been able to go above 114 since july 2011 till date.

    Very very good prediction.

  8. hello sir,

    Please check IDBI bank chart, it is Look Like Inverted Head and Shoulders,if break above 114 with high volume , target minimum 134. please check and comment about IDBI bank . I am wait for your valuable reply
    thanking You….

  9. Happy to announce that IDBI Bank achieved its target one way….. :-)

  10. Hi Ramki,

    Thanks for this analysis and even bigger thanks for writing this book which I purchased very recently. Glad I did!
    A question relating to this chart (a very basic one, but a beginner’s hurdle!), specifically about ‘X’ wave. In the book you have mentioned that ‘X’ wave would appear between 2 ZigZags which are 5-3-5 (A-B-C). In this chart, Wave A appears to be one straight line fall from end of Wave 5. To see this 5-wave structure are we supposed to see this in hourly or other lower time formats of IDBI? Please advise

    Thanks,
    Arian

  11. Hi Ramki,

    Thanks for the clarification. I just finished reading your book. One last question that I still have after finishing the book (& after trying out on a daily chart to test my understanding). Suppose in a correction, there was an irregular Flat correction with B greater that 5 wave peak. After C wave correction, 5 wave impulse has started. Should the 5th wave of this 5 wave impulse, necessarily extend above the previous peak of Irregular B wave? The reason I ask this is, the wave is still not complete. I don’t know whether to mark the current peak as 5th Wave of 3rd Wave (bcoz it’s smaller than B wave peak) or 5th wave.

    • Hello Arian, The end of the fifth wave can be computed using the method I had described in the book. There is no compulsion for it to end ahead of, or beyond, or even at the same level as the irregular B wave peak. Perhaps it will help you better to realize that there are NO COMPULSIONS for any wave to end at any levels we are anticipating. We are only trying to trade sensibly. Hope that answers your question. Now that you have read the book, perhaps you will take a minute to write a review on Amazon so that others may benefit from your impression of what you have just finished reading.Best wishes.

  12. dear sir
    i have beening tracking your view about the markets and stocks.
    as per your predictions IDBI has already hit 88 and below it’s support level of 84.
    as i track fundamentals and seeing quite good value at 82 and it’s below it’s 0.6*BV and forward PE of 3.5
    do you feel technically IDBI bank has bottomed out?
    is it good time to go long in IDBI for medium to long term?

    • Hi Nilesh
      Thank you for your comment. I am currently on holidays. Besides, I am not offering any investment advice. The blog gives ideas on how to use Elliott Waves to give yourself an edge in the marketplace.

  13. One alternative count comes to my mind after looking the idbi chart is may be we are in C wave of an irregular flat. The move might come down to 2009 March lows around 40. Move from Nov 2007 to Mar 2009 is wave A, the move from Mar 2009 to Nov 2010 is an irregular B wave and we are currently 3rd wave of the C wave, and C wave could finish around Mar 2009 lows. I am not an expert, this is kind of beginners work , I will provide more detailed analysis of mine on the forum.

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