Daily Chart
Half Hourly Chart
Nifty has formed a bearish rising wedge - as is visible on half hourly
charts - which is a continuation pattern indicating the fall may
continue.
A doji was formed on daily charts showing losing momentum on the upside
which started from 5548 lows.20 ema shown in green on daily charts
proved resistance.The retracement was around the 38.2 % of the fall
from 5777 to 5348.If this level is not regained and the Nifty falls
then shows bearishness.Resistance therefore is at the 5643-5650-5660
where the 38.2% fibo level, 20 ema and earlier gap exists.Till this is
crossed and closed above it decisively the Nifty will be under bear
pressure.
The rising wedge was broken down in the last half hour indicating more
fall to come.Redrawing the support line the Nifty needs to stay above
5647 for the day to avoid breaking below the redrawn line.If fails then
Nifty could go down by a 100 points.
Strong support is at 5578 at the uptrendline from June which remains
unviolated. 50 ema is at 5602. Fibonacci supports for the rise from 5548
to 5643 are marked on half hourly charts.
A weekly close above 5602 is required to stay
above the uptrendline from June lows on weekly charts.
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Lakshmi Ramachandran
www.vipreetsafetrading.com
Disclaimer
All
the calls made in this section are based on my judgment and the information
available at the particular point of time. Adequate precaution has been taken
while writing the analysis. However, no responsibility is taken for the losses
or gains made through the analysis, either legally or otherwise. Readers are
advised that acting on the analysis is at their own risk. Stock Market trading
involves risk and is a high risk & high return business and I do not accept
any financial and/or legal responsibility arising from the use of the
information
