As we already mention in our last week post that nifty can face resistance at 6350 level and see it came down nearly from that level, but this doesn’t mean that market is gone into selling, we are assuming this as a correction. we also mention that if market able to give close below 6200 level for 2 trading session then only we can see more selling pressure in market. today nifty given close below 6200 level so what we can see tomorrow upside reversal or more down turn ???
as per the nifty daily chart we can see that today nifty given a 1st negative close below its support trnedline on chart.
even RSI also moved below its support level, but till market not give one more negative close we cant say more selling is coming.
as per the candlestick pattern nifty has created “INVERTED HAMMER” chart pattern today, so one more close below today low can give more down trend in market, but not before that if tomorrow able to close positive then we cant avoid up move also in coming days.
so as per the current development its look like tomorrows close is highly important in market to decide its next move, negative close will lead for more fall and positive close can give hope of recovery.
so before taking any positional view or decision we request all to wait for tomorrows session’s close.