Short-term Elliottwave structure suggests cycle from 11/4 peak ended with wave ((3)) at 7862.8 and the index is in wave ((4)) bounce to correct decline from 11/4 peak. Internal of wave ((4)) is unfolding as a double-three where wave (W) ended at 8478.9, and wave (X) ended at 7967.88. While above 7967.88, index has scope to do another leg higher in wave (Y) towards 8585.89 – 8731.19 area to complete wave ((4)) before the decline resumes. We don’t like buying the proposed bounce and expect sellers to appear from 8585.89 – 8731.19 area for at least 3 waves pullback.
