Reigning The Nifty 19th November 2012

Weekly Chart

Daily Chart

Half Hourly Chart

 Nifty has finally broken down decisively from the range and the low made at 5583.An island reversal was made which was already pointed out in the Newsletter.The bearish head and shoulder target of 5560 was achieved.Bias is bearish due to the Island Reversal and with the neckline of the Inverted Cup and Handle neckline being broken.

Nifty is now close to crucial support at 5549 on the uptrendline from June 2012.This may lead to a pullback and retest of the neckline of the cup and handle pattern at 5583. This should ideally be sold into.The pattern has been shown in the chart below with targets.Targets on half hourly charts are slightly different as the neckline has been drawn slanting upwards.These are just reference points.

The Island Reversal resistance at 5650 will be the level for trend change from bearish to bullish.
 

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Happy Trading !!

Lakshmi Ramachandran
www.vipreetsafetrading.com