Nifty made a new high at 6042 but soon melted and made a lower low of 5977 to form a bearish engulfing candle pattern.It was also an Outside Day pattern both signalling a possible reversal.The consecutive hanging man pattern had given enough warning to the bulls.
Half hourly chart shows a break down from the red rising wedge.Gaps made on the way up will now serve as support.Fibonacci supports for the last leg up from 5823 are marked. The 5965-5958-5951 should be strong support for the Nifty.
Till these supports hold the uptrend is intact.Further action should tell us whether a medium term reversal has started.
For subscriptions to the Newsletter write to firstname.lastname@example.org
Happy Trading !!