25 June 2014

IDFC

6th Dec

Longer Term Wave count with projections as per Wave theory.
Monthly chart.




The stock is currently correcting after completing wave 1 of 3/III.
Momentum usually gathers once stock starts trading above Golden Cross. Also many investors who are on the sidelines join the party only above that.

Daily chart with lower degree wave count.





15th Aug

I have given below my alternate count for this stock. As per this count the correction of wave 4 seems over at 61.8% level of the wave 3 and invalidation is very close to current bottom.

However what bugs me is total lack of buying interest even at this level. I am assuming the stock is looking for some event and the buying may happen on the go on the up. 

As for entering long in such stocks I would prefer some confirmation either in the form of perceptible buying or close above 20dma as right now despite the count I find it risky as the stock has returned from Golden cross around 164.







9th Aug

Failure to successfully negotiate golden ratio at 165 pushed the stock back in the hands of bears.

Looks like it wants to see 140 before looking up. As below 137.90 it goes for invalidation of bullish 5 wave impulse count.

Wave count on daily chart. 





20th July

So here it comes, at the final golden ratio with loads of confidence and super Bullish count.
Now let us see 176 and then 190. But promising to be a good doubler at the least over longer term.


25th June

IDFC, despite its pedigree management and unique positioning in a developing economy with extra emphasis on infrastructure development, continues to languish below important landmark for a long term investment ie Golden Cross. 

It is now running wave 2 which should end near 116-118 zone and confirmation of these targets comes on move below 124.80

But it must be noted that the moves of this stock have not been bold enough, rather muted and the wave counts rather weird. This should change once wave 3 starts and the crucial Golden Cross is sustained. I would consider it investment grade only above that level for faster returns.



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