Om Sri Ganeshaya Namaha

Om  Sri  Ganeshaya  Namaha
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Tuesday, August 16, 2011

Reigning The Bank Nifty 16th August 2011

 Weekly Chart

Weekly Chart II

Bank Nifty broke the fan line support intra week but closed above it. The candle made is a high wave candle which  can indicate that the market is losing its direction and a change in trend may be imminent. Large intraday swings portray a market that has become indecisive. The inability to close near the high or the low indicates a lack of conviction on the part of both bulls and bears. Occuring during  a downtrend, it could be  indicating  that the bears could be losing control of the trend. By itself, the high wave candlestick does not produce a buy or sell signal. It  serves as an alert to a possible change in trend.

Daily Chart

The daily chart though shows a bearish engulfing pattern which shows continued bearishness.The first sign of recovery would be a close above 10516.Till then it would be safe to assume continued bearishness.

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Happy Trading !!
Lakshmi Ramachandran

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