MARI PROBABLY IN WAVE '' C '' OF CORRECTION - SHORT

This is in continuation to our ongoing tracking of MARI.

Since prices moved down giving confidence to our bearish wave count, we are taking a small position by short selling. They are several possibilities at hand therefore we will trade this setup with cautious using trailing stop loss until we reach our target.
We only recommend small portions while short selling due to the fact that futures have less liquidity/volume.

If our wave count is correct then we can make around 10.85% or 13.04% on this trade.

Trade setup:

Entry price: 682

Stop loss: 721

Targets:
T1: 608
T2: 593-578

Let see how this plays, Good Luck!

Disclaimer: The information presented in this wave analysis is intended solely for educational and informational purposes. It does not constitute financial or trading advice, nor should it be interpreted as a recommendation to buy or sell any securities.

Trade active

Our trade got activated once our stops on regular markets were taken out, you can short sell at a bounce now or if your an aggressive trader you can short sell on the market price but make sure its a small portion.

Entry price: 682

Stop loss: 721

Targets:
T1: 608
T2: 593-578

Note

Update:

If our wave count is correct then we should reach both our targets within this week.

T1: 608 ( will close 50% of positions )
T2: 593-578 ( will close 50% of positions )

Note

Update:

Prices have gone down as expected and should take support from 645 - 650 level for consolidation, alternately if prices break through the first yellow trendline prices might reach 630 - 640 range and broken trendline will act as a resistance for bounce upwards.

Note

Update:

We are expecting a bounce from the trendline support, if the price bounce from this level of 645-650 it might reach 685-700 level and start declining again. Alternately, prices will not decline once they reach 685-700 level and will keep on rising targeting higher levels of 760-780 which has a low probability.

As we do not want to turn our wining trade into a losing trade therefore we are closing 50% of our positions at 650 and will close the remaining 50% at 608.

This downtrend remains valid until 721 level is taken out.

Note

Update:

Our order did not get filled and prices have rise as expected, now break above 671.20 will target 685-700 level and if price breaks below 649.50 it will target 630 - 620 level.

Since our order did not get filled we have modified our targets.

T1: 625 (50% position)
T2: 608 (50% position)

Note

Update:

Prices have declined as expected, we are expecting prices to reach our targets in a couple of days however as the MARI-APR contracts will get squared up this Friday we might have to close our positions prematurely i.e. if we don't reach our targets by Friday closing.

Trade closed: target reached

Both targets reached in MARI-APR futures contract, Gross profit of 9.60% in 9 days :)

Entry price : 682
Exit price : T1-625 & T2-608
Profit @ share: 65.5
Gross profit: 9.60%

Note

Update:

At current prices MARI have a lot of possibilities at hand to play with and trap traders at the moment. We have been tracking MARI waves for a couple of months now and lucky all our wave counts/shared Ideas have worked in our way, you can check them out if you like.

Our preferred wave count suggest that an ABC correction is almost over and prices should rise but looking at the overall fundamentals which are very bearish for the stock market in general, it is not wise to jump into a trade based on wave analysis alone because wave analysis should align with fundamentals to work properly.

So here's our take on MARI, if prices don't go below 590 level then prices might retrace back to 660-680 level. Alternately if bearish momentum continues then prices will fall to 534 level and if that doesn't hold then towards 512 level which has a low probability.

Our preferred wave count suggest that prices should not go below 600 and start a retracement back up towards 660-680 range but we will wait and see how market unfolds in the coming week.

We will update our next trade setup as soon as we see some clarity from the market.

Note

Update:

Price have started to rise and most probably it will test 640-660 area, looking at the momentum we don't think prices will retrace much back from this level therefore we won't be able to get a buy setup here. Incase prices do retrace down we might get a buy trade setup.

Note

Update:

We are continuously tracking MARI wave count on minor level but are not uploading it because on minor level waves are more prone to errors then longer time frames which I have mentioned several times in my published ideas.

Prices did not reach 640-660 level and is consolidating in a sideward pattern, if our minor wave count is correct then we should not go above 650 level, ideally we should not go above 630 level even. Prices will decline towards 605-600 range and should bounce from there before resuming the downtrend.

If the wave unfolds as mentioned above then we will get a nice short sell trade setup which I will upload/publish in due course.

KayJay

Disclaimer

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KayJay