i was asked whether crude will have the same kind of potential then.
the crude has gone through large consolidation but to say it is in similar state as sensex is not correct.
where crude has consolidated and where sensex had, are different zones with different implications.
crude should move to the upside .
For one thing the Crude correction is at a level much lower than its previous high. So the upside potential could well be much below its previous high(even if assuming both are in a "B"). Is this a good enough distinguishing factor? The speed and extent of price change in Sensex gives it a potential alternate scenario of fresh impulsion while this seems to be absent in Crude?
ReplyDeleteyes, thats true.
ReplyDeletecrude has nowhere near the strength of sensex and may very consolidate for extended periods.
most of the sectoral components of sensex are above life time high/2008 highs with very few heavyweights like icicibank, reliance below.
sensex is a different beast and has a trajectory that is altogether different