Due to some issue i am not able to put study of nifty yesterday.
Nifty Intraday movements and Study of Chart –
There was a lots of up and downs in todays session, low of 5568 high of 5668 and close in mid @ 5600……..
what it mean, big fight between bulls and bears, 5500-5600 looking important support in nifty on long term chart.
today nifty open gap up but not able to sustain its gains for even 10 min. and started to fall, if we can notice on chart, nifty was having major trend-line resistance range at 5600-5620 range, and there nifty created double negative convergence signal, and just imagine after this double confirmation nifty fall 30-40 points in just 30 min time period.
we given sell @ 5600 with 5620 sl and it able to made till 5568 level on 1st signal.
In second part nifty not able give any signal of bottom reversal (or i might fail to catch that reversal), but if we observe clearly then we can see that nifty has created ascending triangle pattern on chart, and after its breakout at 5605 level nifty given movement of 63 points which almost equal to a width of triangle which was about 62 points, (exactly following technical and chart patterns), we miss to given this 2nd buy call here.
In 3rd part, after a completion of movement of 2nd part nifty little bit slow down at top and there we spotted, “NEGATIVE DIVERGENCE CHANNEL” and as it was a channel and also RSI was into over bought zone, so impact should have been rapid, as it was in channel so it was a big fight between bulls and bears at that stage, and just see what happen next, after breaking the support of 5645 nifty given rapid fall till 5598 level in just 30-40 min time.
we able catch the 3rd call given sell below5645 made till 5598.
overall good volatile day buy cent percent supportive for technical, “we cant say movements are unexpected, we can say that our expectations are unexpected”
NIFTY VIEW FOR 26-06-2013
As we seen 100 points volatility today, so same thing to expect in coming days as nifty trading near important support level of long term tend,
WHAT IF OPEN GAP UP – if nifty able to open gap up, and if it able to sustain its gains for next 15 min. and able to break 15 min high then only we can expect upside levels of 5640-5685. but after gap up if it not able to break 15 min high then we can see fall in a market again, till 5580-5550
WHAT IF OPEN GAP DOWN – If nifty able to open a gap down for the day, then for any recovery it need to sustain for 1 hour after that only we can expect a recovery, down side we can see 5580-5550 major support zone.
over all technical expectation telling us a nifty range of 5550-5685 beyond this range only we can see major moves which can be trend deciding for coming days.