Markets near all-time high: Nifty likely to top-out near 12,500 mark

As per the Elliot Wave Theory, we are in the fifth wave of an immediate trend and the third wave of the Big Bull Run.The corrective phase within the wave count includes low of 4,531 and 6,821

With the Nifty50 index trading close to its all-time high level, it has become a challenging task to predict the road ahead. Election – related uncertainty is adding to volatility. However, various technical theories have helped to identify a possible range. Fibonacci series and price extensions is one way to forecast a trend. 

In technical analysis, a Fibonacci retracement is created by taking two extreme points (usually a major peak and trough) on a stock chart and dividing the vertical distance by the key Fibonacci ratios of 23.6%, 38.2%, 50%, 61.8% and 100%

Elliot Wave Theory developed by Ralph Nelson