Half Hourly Chart
Todays candle tells us of the tussle between bulls and bears with neither winning. The bulls succeeded early morning and kept at it till noon raising hopes of a break on the upside. The bears however gained strength after that and succeeded in a downside break from the neckline support of 5360 to end the session exactly at the up trend line support.This is bearish as the session ended at the lowest point.Volumes were low and breadth marginally negative.
The break of the neckline, which held well for last 8 sessions, does not bode well. The negative divergences on all time frames have been cautioning since some time. The head and shoulder pattern with a target of 5266 has broken on the downside ( the session ended at 5357). Expect Nifty to breakdown tomorrow.
The 20 dema has support at 5319 and 50 dema at 5241.
The half hourly chart shows support taken at the neckline as per EOD figure.The 200 period ema has support at 5341.
Supports are at 5360-5341-5332-5275. Resistance is at 5370-5416-5453.
Caution to take fresh longs only on a break above 5453 continues. Positional longs may book partial profits and continue holding the remaining positions with a stop loss of 5275.Trend reversal only on a decisive break of 5200.
Happy Trading !!