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NIFTY: Double Zigzag (WXY) Correction | Converging Triangle in XNSE:NIFTY
🌊 NIFTY: Double Zigzag (WXY) Correction | Converging Triangle Developing in Wave X
NIFTY appears to be unfolding a Double Zigzag (WXY) corrective structure. The first corrective leg, Wave W, has already completed as a Single ABC Zigzag, setting the stage for the current Wave X.
According to this wave count, Wave X is developing as a Converging Triangle (ABCDE). At present, waves (a), (b), (c), and (d) appear to be complete, while wave (e) is expected to be the final leg before the triangle finishes.
The triangle remains valid as long as price continues to respect its converging boundaries. However, there are two important invalidation conditions to monitor:
👉 Upper Invalidation: A sustained move above 24,532 before completing wave (e) would invalidate the current triangle structure.
👉 Lower Invalidation: If price falls below 23,069 before forming wave (e), this triangle scenario also becomes invalid, suggesting that Wave X may have already ended or an alternate correction is unfolding.
If the triangle completes successfully with wave (e), the next move would likely be the beginning of Wave Y of the larger WXY correction.
One important point to remember is that Wave Y is itself a corrective wave, meaning it does not have to be a simple zigzag. It can develop in several different corrective forms, including:
• Single, Double or Triple Zigzag
• Regular, Expanded or Running Flat
• Converging, Expanding, Barrier or Running Triangle
• Complex Combinations such as WXY or WXYXZ
This is why Elliott Wave analysis should always remain flexible. While the larger roadmap may be identified, the exact internal structure of the next corrective wave is confirmed only as price unfolds.
For now, NIFTY remains inside a contracting corrective pattern. The completion of wave (e) will be the key event to watch before expecting the next significant move.
Key Levels:
🔴 24,532 → Upper invalidation for the current triangle scenario.
🔴 23,069 → Lower invalidation if broken before wave (e) completes.
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⚠ Disclaimer:
This analysis is for educational purposes only and represents one possible Elliott Wave interpretation. Always wait for price confirmation and manage risk appropriately.
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#ElliottWave #DoubleZigzag #WXY #WaveX #WaveY #ConvergingTriangle #TrianglePattern #CorrectiveWaves #WaveAnalysis #TechnicalAnalysis #PriceAction #MarketStructure #TradingEducation #TradingView #Nifty #Nifty50 #NSE #SwingTrading #PositionalTrading #StockMarket #ChartAnalysis #NikhilKanal XAUUSD: Bullish Continuation Above 4,285Gold is still showing strong bullish momentum after breaking away from the previous consolidation structure. From Kelly’s view, the market is now building a clearer Elliott Wave recovery, and the current setup suggests that price may continue higher if the pullback holds above the 4,285–4,300 buy zone.
The key idea is simple: gold is bullish, but the better plan is to wait for a healthy correction before following the next upside wave.
Market structure
The chart shows gold has made a strong recovery from the lower base and is now trading around 4,315. The latest impulse pushed price into a higher structure, confirming that buyers are still active.
The nearest support is the 4,285–4,300 buy zone. This area is important because it may become the base for the next bullish continuation. If price pulls back into this zone and buyers defend it, gold may continue towards the 4,327 and 4,380 resistance levels.
The next major resistance sits around 4,409–4,421. If gold breaks above this zone with strong momentum, the larger Elliott Wave target near 4,640–4,670 may become the next area to watch.
Key levels
4,285–4,300: main buy zone and wave support
4,315: current price reaction area
4,327: first resistance checkpoint
4,380: key resistance zone
4,409–4,421: major sell zone / breakout decision area
4,640–4,670: possible Elliott wave 5 completion zone
Below 4,240: area where the bullish setup starts to weaken
Elliott Wave view
From an Elliott Wave perspective, gold appears to be developing a bullish continuation sequence after a strong recovery phase.
Wave 1 created the first push from the lower structure.
Wave 2 corrected but held above the base.
Wave 3 may now be developing towards the 4,380–4,421 resistance area.
Wave 4 may later create a short pullback around resistance.
If momentum remains strong, wave 5 may extend towards the upper Fibonacci target near 4,640–4,670.
This is why Kelly is not looking to sell too early. The structure still favors the buyers unless price loses the key support zone.
Trading scenario
Preferred scenario: wait for gold to pull back into the buy zone and show bullish confirmation.
Entry zone: 4,285–4,300 if bullish confirmation appears
Stop loss: below the confirmed pullback low or below 4,240
Take profit 1: 4,327
Take profit 2: 4,380
Take profit 3: 4,409–4,421
Take profit 4: 4,640–4,670 if wave 5 extends strongly
Alternative scenario: if gold breaks below 4,240 with strong bearish pressure, the bullish Elliott setup weakens. In that case, price may need to build a new support base before the next continuation becomes reliable.
Kelly’s view
For Kelly, gold remains in a bullish continuation structure. The market has already shown strong buying pressure, but after such a sharp move, a pullback into support would make the next buy setup cleaner.
The main zone to watch is 4,285–4,300. If buyers protect this area, gold may continue higher towards 4,380 first, then the larger resistance near 4,409–4,421.
Gold is still showing bullish strength.
If the buy zone holds, the next Elliott wave may continue higher.
Share your view below. Long 
Long
Elliott Wave Principle - Wave 1 extension variation ChartTheWave Learning Series
A Practical Variation of Wave 1 Extension
This post is a continuation of my earlier lesson on Wave 1 Extensions published on 30 July 2026. In that lesson, we learnt that when Wave 1 is the dominant extended wave, the remaining motive waves often terminate within approximately 78.6% of the length of Wave 1.
During my study of hundreds of market charts, however, I have repeatedly observed another variation that is worth recognising. While a single extended motive wave is the most common occurrence, there are occasions where both Wave 1 and Wave 3 develop as extended waves. In such cases, the overall impulse behaves differently from the typical Wave 1 Extension. Let us understand what happens in such cases as a "variation of Wave 1 extension" .
Why Wave 3 and not Wave 5?
Under the Elliott Wave Principle, Wave 3 can never be the shortest of the three motive waves . Therefore, when a second extension develops after an already extended Wave 1, it is generally Wave 3 that extends, while Wave 5 usually remains comparatively short.
Observation CTW-OBS-001
Primary Extension with Secondary Extension
Through repeated chart studies, I have observed that when both Wave 1 and Wave 3 exhibit extended characteristics, Wave 3 terminate with a maximum length of around 1.272–1.414× the length of Wave 1 (as against 78.6%) . Once this level is achieved, Wave 5 often completes quickly without developing into another significant extension.
This is a practical market observation based on repeated chart analysis and is shared to encourage further study and discussion among Elliott Wave practitioners.
Case Study – Max Healthcare Institute
Following the completion of a larger Zigzag correction on 7 April 2026, Max Healthcare Institute began a fresh impulse wave.
Wave 1
Developed as an extended impulse with five clear internal subdivisions. Sub-wave (i) itself was extended.
Wave 3
Also developed as an extended impulse with its own five internal subdivisions. Sub-wave (i) was again the dominant internal extension. Instead of terminating near 78.6% of Wave 1, as seen in the more common Wave 1 Extension, Wave 3 extended slightly beyond the length of Wave 1 (i.e. > 1x of Wave 1) .
Wave 5
Completed without developing into another significant extension, bringing the impulse to completion within the observed range.
Key Learning
Markets do not always exhibit textbook behaviour. While the rules of the Elliott Wave Principle remain unchanged, market structures often display recurring variations. Recognising these variations through wave proportions, internal subdivisions, and Fibonacci relationships can help maintain a more objective and consistent wave count.
This observation represents a recurring market behaviour identified through extensive chart studies and is intended for educational purposes.
This is for educational purposes only and not a buy or sell recommendation.
Education
XAUUSD – Gold Holds Bullish Structure, 4,356 Is The Next Test XAUUSD – Gold Holds Bullish Structure, 4,356 Is The Next Test
Gold is still showing strong bullish momentum after a powerful recovery this week.
Price is currently trading around 4,296, holding near the bullish confirmation area after moving above the key psychological zone around 4,194. Buyers are still active, and the market structure remains positive as long as gold stays above the main support zones below.
However, after a strong weekly rally, the next move needs confirmation. Gold is close to resistance, so a clean pullback and continuation setup would be healthier than chasing price too high.
FUNDAMENTAL ANALYSIS
Gold is attracting buyers after the recent pullback, while the market continues to watch U.S.–Iran peace headlines and key U.S. employment data.
Gold is on track for a strong weekly performance, but upside momentum may slow if traders become cautious before the jobs report. Mixed geopolitical signals can also create short-term volatility.
For now, the fundamental background still supports careful optimism, but the chart needs to confirm whether buyers can continue pushing above the current resistance area.
TECHNICAL ANALYSIS – SMC + FIBONACCI
From an SMC perspective, gold has built a clean bullish structure from the lower base and continued forming higher highs and higher lows.
The key psychological zone around 4,194 has already acted as a strong support base. After breaking higher, price is now holding above the Buy Order area and showing bullish confirmation.
The Buy Order zone around 4,249 is the first important support. If price pulls back into this level and reacts well, buyers may continue toward the next upside target.
Below that, the strong support area around 4,228 is the deeper level that must hold to keep the bullish structure healthy.
The main target for today sits around 4,356, where Fibonacci 4.618 and the marked target zone align. If gold breaks above the current high and keeps momentum, this zone becomes the next major area to watch.
KEY PRICE ZONES
Current price: 4,296
Bullish confirmation area: 4,285 – 4,300
Buy Order zone: 4,249
Strong support: 4,228
Key psychological zone: 4,194
Target today: 4,356
Bullish structure valid: Above 4,228
Invalidation for short-term bullish view: Below 4,228
TRADING SCENARIOS
Buy Scenario – Priority View
Buy Zone: 4,249 – 4,285
Entry: Bullish retest, liquidity sweep, lower-timeframe CHoCH, or strong reaction from the Buy Order zone
SL: Below 4,228
TP1: 4,300
TP2: 4,356
Pullback Buy Scenario
Buy Zone: 4,228 – 4,249
Entry: Wait for clear bullish rejection from support
SL: Below 4,228
TP1: 4,285
TP2: 4,356
Sell Scenario – Only Short-Term Reaction
Sell is not the priority while gold remains above 4,228.
Sell Zone: Around 4,356
Entry: Bearish rejection, failed breakout, or lower-timeframe bearish CHoCH
TP1: 4,300
TP2: 4,249
Invalidation: If price breaks and holds above 4,356, the sell reaction idea becomes weaker.
MY VIEW
Gold is still in a strong bullish structure.
The weekly rally shows that buyers have regained control, but after a fast move higher, I prefer not to chase price directly into resistance. The cleaner plan is to wait for a pullback into 4,249 or 4,228 and watch whether buyers defend the structure.
If these zones hold, gold may continue toward 4,356.
If price loses 4,228, the bullish wave becomes weaker and the market may need more consolidation before the next move.
For now, buyers still have the advantage — but the next pullback will tell us how strong this rally really is.
Do you think gold will hold 4,249 and continue toward 4,356 today?
Long 
XAUUSD: ABC Pullback Before Next Buying MoveGold has just made a strong upside move and is now showing signs of short-term exhaustion near the upper area. From Kelly’s view, the main trend is still constructive, but price may need a corrective ABC pullback before the next bullish continuation becomes cleaner.
The key idea is simple: gold is still bullish, but buying after a correction is safer than chasing near the top.
⟡ Market structure
The chart shows gold pushed strongly from the 4,150–4,160 area and completed a short-term Elliott wave 5 near the upper zone around 4,290–4,310. After this strong rally, the market is now reacting around 4,272.
This reaction does not mean the bullish trend is over. It may simply be the start of a healthy correction. The first important liquidity zone sits around 4,220–4,230. If price pulls back into this zone and buyers defend it, gold may create wave A and wave B before continuing higher.
If the correction becomes deeper, the stronger zone to watch is 4,155–4,165, marked as the possible End wave ABC area. This level is also close to the rising trendline, making it an important support base for the next bullish setup.
➤ Key levels
◌ 4,272: current price reaction area
◌ 4,290–4,310: recent wave 5 high and short-term resistance
◌ 4,220–4,230: liquidity zone and first pullback support
◌ 4,155–4,165: End wave ABC / major buy reaction zone
◌ 4,320: next bullish extension if price breaks the recent high
◌ Below 4,150: area where the bullish setup starts to weaken
⌁ Elliott Wave view
From an Elliott Wave perspective, gold appears to have completed a bullish 5-wave impulse after the strong breakout.
Wave 1 started the recovery from the lower base.
Wave 2 corrected but respected the bullish structure.
Wave 3 delivered the strong expansion move.
Wave 4 created a small pullback before continuation.
Wave 5 has now pushed gold into the upper area, where price is showing rejection.
After a completed wave 5, an ABC correction is normal. Wave A may pull price back towards the 4,220–4,230 liquidity zone. Wave B may create a small rebound. Wave C may complete near 4,155–4,165 if the market needs a deeper reset.
If that support holds, gold may prepare for the next bullish continuation phase.
▸ Trading scenario
Preferred scenario: wait for gold to correct into support and show bullish confirmation.
Entry zone 1: 4,220–4,230 if bullish reaction appears
Entry zone 2: 4,155–4,165 if deeper ABC correction happens
Stop loss: below the confirmed wave C low or below 4,150
Take profit 1: 4,272
Take profit 2: 4,290–4,310
Take profit 3: 4,320+ if bullish momentum continues
Alternative scenario: if gold breaks below 4,150 with strong bearish pressure, the ABC correction may become deeper. In that case, the bullish continuation setup needs to be reassessed before looking for another buy.
⌁ Kelly’s view
For Kelly, gold remains in a bullish structure, but the market is now too close to the upper reaction area to chase blindly.
The cleaner plan is to wait for the ABC correction. If price pulls back into 4,220–4,230 or deeper into 4,155–4,165 and buyers defend the zone, the next bullish move may continue.
Gold may correct first.
If the support zones hold, the bullish trend can continue again.
Share your view below. Short 
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Short 
XAUUSD: Pullback to support before the next leg up!OANDA:XAUUSD recently surged strongly, nearing the 4,300 level; however, after entering overbought territory, the price has stalled, and profit-taking pressure has emerged. Given the current position, I do not favor chasing the rally; instead, I am waiting for a deeper correction.
The 4,100–4,160 zone is the most critical area to watch. It serves as both a former support base and sits near a cluster of upward-sloping EMAs. If XAUUSD retraces to this level and forms a bullish rejection candle (long lower wick) or a bullish engulfing pattern on the H4 timeframe, the likelihood of buyers stepping back in increases. In that scenario, the price could recover to the 4,200 area in the short term, with further upside possible if momentum is sustained.
From a macro perspective, the environment remains slightly favorable for gold as the USD and US Treasury yields have cooled, while the market awaits tonight's Non-Farm Payrolls (NFP) data to reassess the Federal Reserve's policy path. Consequently, a "buy on pullback" strategy is more appropriate right now than attempting to sell against the prevailing major trend.
Buy zone: 4,100–4,160
Confirmation: H4 rejection of lower prices and recovery above 4,160
Near-term targets: 4,200–4,220
Invalidation: Clear H4 close below 4,080
After such a rapid rally, gold may well need to "cool off" first. The key is not necessarily an immediate continuation of the rise, but rather observing whether buyers can successfully defend the new support zone. Long 
Gold H2: Overbought, correction to 4,140 is openedAfter a very strong breakout, gold is starting to slow down around the 4,245–4,290 range. This is a new short-term resistance area, while RSI has just exited the overbought zone — a sign that bullish momentum is cooling off after a fairly long run.
I think that in the current position, a correction will be more reasonable than continuing to chase.
If XAUUSD continues to fail below 4,290 and H2 loses the 4,230–4,240 zone, profit-taking pressure could pull the price back to the previous breakout area around 4,140–4,175. Short 
XAUUSD 4250 coil — 4295 liquidity next XAUUSD 4250 coil — 4295 liquidity next
That pause under 4,250 is not weakness by itself.
Gold already ripped hard from the 4,025 base, broke structure, cleaned the upside, then stalled under 4,295. Makes sense. After that kind of move, price needs to breathe.
But I’m not fading this just because it slowed down.
The IFVG around 4,210 - 4,235 is the zone I care about. That’s where buyers should defend if this breakout is real. Price tapped around that area, printed a small ChoCH, and now it’s trying to build again near 4,260.
That is not bearish yet.
Macro is still noisy. Traders are waiting for NFP, so nobody wants to go all-in before the data. Geopolitical risk is still hanging around too. That can keep gold bid, but it can also create nasty fakeouts.
Main bias stays bullish while gold holds above 4,210.
If buyers keep defending 4,235 - 4,250 and push through 4,295, the next liquidity is sitting higher around 4,320. Clean magnet. But I don’t want to chase directly into the high. Pullback, hold, reclaim. That’s the play.
Trading scenario:
Buy idea only if gold holds above 4,210 - 4,235 and reclaims 4,270 with clean candles.
Entry zone: 4,235 - 4,270 after confirmation
Stop loss: below 4,177
TP1: 4,295
TP2: 4,320
TP3: 4,350
No hold above the IFVG, no buy. Simple.
If gold closes hard below 4,177, this bullish continuation idea gets messy. Then price can flush back toward 4,159 and maybe 4,115.
For now, I’m reading this as breakout first, IFVG reload second, 4,295 liquidity next.
You think gold takes 4,295 before NFP shakes the chart?
Long 
XAUUSD — 4,275 May Be the Trap XAUUSD — 4,275 May Be the Trap
Gold had a powerful breakout earlier, but now the chart feels like it is taking a pause right below the area where late buyers can easily get trapped.
Price exploded from the breakout point around 4,116.415 and pushed all the way toward 4,304.310. That was a strong move, no doubt. But after touching that upper liquidity, gold started moving sideways between 4,223.505 and 4,275.440. For newer traders, this is where patience matters. A market can be bullish overall, but after a sharp run, it often needs to breathe back down and refill the imbalance it left behind.
That is why my main view is bearish for a short-term correction while gold stays below 4,275.440 - 4,304.310. The bigger rally is still important, but right now price is showing hesitation near the highs, while geopolitical risk, inflation concerns, Fed expectations, and NFP uncertainty are making traders more careful.
If gold pushes back into 4,275.440 and rejects, I would see that as a possible liquidity trap. Buyers chase the bounce, price grabs that liquidity, then sellers may guide the market back toward 4,223.505 first. If 4,223.505 breaks cleanly, the deeper FVG around 4,160 - 4,180 becomes the next area I want to watch.
This bearish pullback idea becomes weak only if gold reclaims 4,304.310 and holds above it. That would show buyers still have enough strength to continue the breakout instead of correcting lower.
Key price zones to watch
Current reaction area: 4,255.760 - 4,275.440
Main supply / trap zone: 4,275.440 - 4,304.310
Bearish confirmation zone: clean break below 4,223.505
First downside target: 4,223.505
Main downside FVG target: 4,160 - 4,180
Lower support if selling expands: 4,150.280
Major lower liquidity: 4,116.415
Invalidation: clean reclaim and hold above 4,304.310
Do you see this 4,275 area as a trap before a deeper pullback, or do you think gold still has enough strength to break 4,304 first?
Short 
Bullish on JMF### Comprehensive Stock Analysis: JM Financial Limited (NSE: JMFINANCIL)
**Business Overview:**
JM Financial Limited is a leading integrated financial services group in India. The company operates across various segments, including Mortgage Lending (Home Loans, Loan Against Property), Distressed Asset Management (ARC), Investment Banking, Institutional Equity, and Asset & Wealth Management. By diversifying across both retail and corporate financial services, the company maintains a robust ecosystem that capitalizes on India's expanding credit market and capital market activity.
**Strengths:**
* **Diversified Revenue Streams:** Unlike pure-play lenders, JM Financial balances its income through fee-based advisory services and interest-based lending, providing a buffer during market volatility.
* **Strong Distressed Asset Franchise:** They are a dominant player in the Asset Reconstruction Company (ARC) space, which provides high-margin opportunities when corporate debt cycles turn.
* **Market Position:** With a long-standing history, the brand enjoys significant trust and institutional relationships, which are critical for deal flow in investment banking.
* **Capital Adequacy:** The firm maintains a healthy balance sheet, allowing it to navigate interest rate cycles effectively.
**Future Potential:**
* **Retail Credit Growth:** The company is aggressively scaling its retail mortgage and MSME lending portfolio, which is currently the biggest growth engine for non-banking financial companies (NBFCs) in India.
* **Capital Market Tailwinds:** As Indian retail participation in stock markets grows, JM Financial’s broking and wealth management arms stand to benefit significantly from increased transaction volumes and AUM (Assets Under Management) growth.
* **Infrastructure & Real Estate Financing:** The revival in the Indian real estate cycle provides long-term tailwinds for their specialized mortgage lending division.
**Strategic Investment Approach (The 5% Allocation Strategy):**
Since this is a specialized "No-Stop-Loss" allocation using only 5% of your total portfolio, the objective is to leverage the stock's cyclical volatility rather than fearing it.
* **Investment Philosophy:** Treat this 5% allocation as a "Core-Satellite" holding. Because the capital risk is capped at 5% of your total wealth, you do not need a technical stop-loss that might force you to exit during short-term market noise or temporary corrections.
* **Accumulation Strategy:** Use a staggered entry (DCA). If the price dips, view it as an opportunity to increase your position size slightly within that 5% bucket to lower your average cost, rather than exiting the trade.
* **Target:**
* **Short-Term Target:** ₹155–160 (Based on current momentum and recent breakout).
* **Medium-Term Target (12–18 months):** ₹190–210 (Reflecting earnings growth and industry re-rating).
**Risk Mitigation:**
* **Concentration Control:** By strictly limiting this to 5% of your total portfolio, you eliminate the "ruin risk." Even in a worst-case sector downturn, the impact on your total wealth remains negligible.
* **Monitoring:** Focus on quarterly earnings reports (specifically NPAs and NIMs) rather than daily chart fluctuations. As long as the fundamental business growth remains intact, hold through the volatility.
*Disclaimer: This is for informational purposes only and does not constitute financial advice. Conduct your own research or consult with a SEBI-registered financial advisor before making investment decisions.* 
Long
Short 
