Sunday, April 21, 2013

Nifty P&F (Wk 2204-2604) - Channel top resistance 5820-5860, next consolidation suggests the direction

Recap:

Though we expected a halt to the fall, but short-term definitely was not range-bound. My study of the market did not suggest anything that the bounce could be so sharp. Either the market is expecting something big or it's a trap.

Weekly Analysis:


Daily Analysis:

Summary:
Weekly & Daily Up. Weekly chart suggesting a channel top very near 5820-5860, the daily chart also showing a BrRL at the same level (marked red in the chart).

However, the pullback has been quite strong. Suggesting there is some buying pressure in it. The information will be in the next level of consolidation. If we see that there is a consolidation at the channel top level & from there it breaks down, it will resume the down fall. Else if we see a sharp fall from the channel top getting arrested at some Fib level & consolidates, the subsequent break-up will confirm a reversal of the trend.

4 comments:

  1. Dear Rajib,
    As sgx iNifty is showing 5900 so what to trade wait for dips or buy above 5860.it seems there is big shorts In market.give me guidance for market.
    Regards,
    Pinakin

    ReplyDelete
    Replies
    1. @ pinakin,

      sorry for late reply. You would have already got the answer from the market.

      While still 5950 (mentioned in last post's comment to you) is not reached & resisted, I'm out of market. As we did not enter the bus, no point rushing into it when it has moved 400+ points, let's wait for it to consolidate. Volume has not been significant in this rise, however price movement is strong. Price is supreme, pattern is indicator - better to watch.

      Regards,
      Rajib

      Delete
  2. Markets Quantified
    NIFTY 25-Apr-2013
    Current Market Situation :

    NIFTY current close : 5916
    NIFTY resistance level : 6158
    NIFTY support level : 5912
    NIFTY sentiment : positive
    NIFTY dominant cycle period : 14 days


    Levels Tomorrow :

    NIFTY intraday resistance 1 : 5941
    NIFTY intraday resistance 2 : 5970
    NIFTY intraday resistance 3 : 6011

    NIFTY intraday support 1 : 5891
    NIFTY intraday support 2 : 5863
    NIFTY intraday support 3 : 5822
    Markets Quantified

    ReplyDelete
  3. Dear Rajib,
    What is your view about VPO is it still intact or new possibility will fold with this action in last nifty moved. An I can't understand as per s per our yearly analysis of Diwali if nifty broke DOW theory. But correction is not done.
    I want your feedback for the long term target.
    Regards,
    Pinakin

    ReplyDelete