Daily Chart
A hanging man after a shooting star. Two bearish candles in a row after a new top rings alarm bells.The fact that resistance at 6038 was respected once again makes one cautious of a reversal.The uptrendline from 5349 shown in red has been broken by a sideways move rather than a bearish down move.To add to the bearish signals, Nifty made a lower high and lower low.
Oscillators are showing negative divergence on daily charts.Breadth continues to be negative. Volumes were average.
Half Hourly Chart
Half Hourly Charts show a break below the uptrendline from 5349. Support taken near the 61.8% fibo level of rise from 5932 to 6073. But the recovery in the last hours hit resistance exactly at the 61.8% fibo level of fall from 6073-5991 and the uptrendline from 5349. Resistance from this trendline is at 6045-6078.
The range of 5932-6038 needs to be broken before any meaningful move can come in.A new rising wedge is seen as shown on the chart. Appearance of quite a few bearish signals !
Trade light and with strict stops.
Happy Trading !!
Lakshmi Ramachandran
www.vipreetsafetrading.com
2 comments:
Nifty made a lower high and lower low- Do u mean day's high and low or open and close price of candle compared to previous day. Pl clarify. Thanx.
Day's high and low
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