Reigning The Nifty - 11th November

Reaction day after crossing the 61.8% retracement level slightly forming a doji. Higher bottom higher top candle continues . The neckline of the inverse head and shoulders at 4830 held. This level is strong support as we have the confluence of the 5,10 & 50 dema at 4830.

Daily Chart

Daily stochastics is in overbought region and the Rsi14 is waning above the 50 level.The support on downtrendline from which Nifty broke out is at 4750.

Daily Chart

Half Hourly Chart

Magnified action on the half hourly charts shows a breakdown from a rising wedge with a target of 4578. If support at 4830 mentioned above , which is also the neckline support of the inverse head and shoulders, is broken , we may head towards this target. If  breaks above today's high of 4948 we head towards the inverse head and shoulders target of 5145.

Happy Trading !!

Lakshmi Ramachandran
www.vipreetsafetrading.com