Most uncertain violently volatile global markets and once again crashing climate after negaive news flow from Europe. Most European markets closed 5% down yesterday and US markets are also more than 2% down. Sentiment is so badly damaged that most reliable 104 Points(5323-5219) gap up support of 28-10-2011 will be broken down today and Nifty will again trade between previous 54 sessions trading range(4720-5229) after negative cues infected market today.
Nifty Correction-EOD Chart(01-Nov-2011):-
Technically correction is on after 672 Points rally in 16 sessions and let down moves stop then completion of yesterday started correction will be considered and following 2 supports will be watched first:-
1- 5085-5140
2- 5011-5050
If Nifty consolidate near about above mentioned supports then correction completion will be considered.
Nifty-EOD Chart(01-Nov-2011):-
Nifty Fibonacci Retracement Levels:-
23.6%-5241
27.0%-5218
38.2%-5143
50.0%-5064
61.8%-4984
70.7%-4924
76.4%-4886
78.6%-4871
88.6%-4804
Conclusions
Markets are tend to reverse from Fibonacci Retracement Levels therefore above mentioned levels should also be watched. Next important level is 38.2%(5143),as it is near the top of 1st support therefore becomes most crucial.
Correction is on and let it stop and consolidation start then its completion and fresh upmoves will be considered. Markets are extremely affected by most uncertain news flow also therefore complete confirmations are required through intraday patterns formations. At present correction is on and its continuation will be expected after most supressed global cues and let consolidation patterns develop then up moves after correction completion will be considered.
Nifty Correction-EOD Chart(01-Nov-2011):-
 |
| Just click on chart for its enlarged view |
1- 5085-5140
2- 5011-5050
If Nifty consolidate near about above mentioned supports then correction completion will be considered.
Nifty-EOD Chart(01-Nov-2011):-
 |
| Just click on chart for its enlarged view |
23.6%-5241
27.0%-5218
38.2%-5143
50.0%-5064
61.8%-4984
70.7%-4924
76.4%-4886
78.6%-4871
88.6%-4804
Conclusions
Markets are tend to reverse from Fibonacci Retracement Levels therefore above mentioned levels should also be watched. Next important level is 38.2%(5143),as it is near the top of 1st support therefore becomes most crucial.
Correction is on and let it stop and consolidation start then its completion and fresh upmoves will be considered. Markets are extremely affected by most uncertain news flow also therefore complete confirmations are required through intraday patterns formations. At present correction is on and its continuation will be expected after most supressed global cues and let consolidation patterns develop then up moves after correction completion will be considered.