How #Fibonacci Extensions On Log-Scale Can Give Long Term Targets For #Index BullRun?
1.618 & 2.618 are most popular extension applied on Previous Major Corrections
Problem of taking #Linear projections on Long Term Chart is that they give very Small Target
1.618 & 2.618 are most popular extension applied on Previous Major Corrections
Problem of taking #Linear projections on Long Term Chart is that they give very Small Target
Example- Nifty Major Correction in 2000-2003 bear Market Happened from 1818 to 850
if One takes the difference on linear scale & apply 1.618,2.618 extensions, it gives targets of 2416 & 3384, way too small than what Nifty achieved in next Bull Run
if One takes the difference on linear scale & apply 1.618,2.618 extensions, it gives targets of 2416 & 3384, way too small than what Nifty achieved in next Bull Run
On othe hand, if one takes Logscale Difference between 1818-850 & applies 2.618 Extension, it gives Target of 6220, close to 6357 where Nifty bull run ended in 2008
Similarly if one takes 2008 Bear market High & Low of 6357/2252 & apply 1.618 Log Extension, it gives target of 12071, Close to 12400 where Nifty actually topped out & Crashed
Isn't it Amazing !!
Now Assume for moment that Nifty has bottomed out at 7511 & we are looking at Next Bull Run Target
What should we expect?
Taking 12430/7511 as High-Low & applying 1.618/2.618 Log Extensions, We get levels of 16970 / 28083
Take your pick !!
Now Assume for moment that Nifty has bottomed out at 7511 & we are looking at Next Bull Run Target
What should we expect?
Taking 12430/7511 as High-Low & applying 1.618/2.618 Log Extensions, We get levels of 16970 / 28083
Take your pick !!
