Om Sri Ganeshaya Namaha

Om  Sri  Ganeshaya  Namaha
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Tuesday, February 20, 2018

Reigning The Nifty - Target 9500

A  pennant is a continuation pattern  which forms when the price rallies/falls sharply, then moves sideways or slightly to the downside/upside. This sideways movement typically takes the form of a small triangle (pennant). The sideways period is often followed by another sharp rise/fall.

The Nifty just broke down from a Pennant - marked in red.

Half Hourly Chart 

 The  momentum seen during the forming of the flag pole -marked in green-- could continue once the pattern completes. Therefore expect a move down for the Nifty of a measure the size of the flag pole from the point of breakout.

Half Hourly Chart 

Strong support at 9500
The pennant target measures to 9675 which is also strong support area marked in red dotted line. The 50% fibo support of move from 7894 to 11171 is at 9511. Support on rising wedge on monthly charts, shown in my last post, is at 9500. 

 Monthly Chart

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Happy Trading !!

Lakshmi Ramachandran

1 comment:

Riya Tiwari said...

Your blog always having very useful post. Thanks for sharing Forex trading tips