Firstly Watch last 21 sessions trading range amid Deeper Correction Possibility
Intra Day Chart Analysis & Market Outlook
(19-08-2016)
Nifty-Intra Day Chart (18-Aug-2016):-
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| Just click on chart for its enlarged view |
1- Consolidation between 8651-8663
2- Selling between 8678-8690
3- Selling between 8671-8678
4- Whole day actual trading between 8651-8690
Conclusions from intra day chart analysis
Firstly consolidation after strong opening and after that up moves also but selling patterns formations developed in last 5 hours of the day therefore down moves below today lowest(8645.05) can not be ruled out in the coming sessions.
Following resistances were updated at 08:14 AM on 16-08-2016 in "Valid break out last 18 sessions sideways trading range will confirm next trend":-
1- 8664-8684
2- 8686-8710
3- 8708-8723
Nifty failed to sustain above 1st resistance and selling patterns were also seen in last 3 sessions therefore once slipping below last 3 sessions lowest(8600) will mean correction possibility towards following supports:-
1- 8546-8565
2- 8518-8540
3- 8476-8506
4- 8448-8463
Last 21 sessions sideways market between 8518-8728 and its valid down will confirm Intermediate Term Correction of Post Budget rally which has already gained 1902 points in last 6 months and its correction is very much due now because Oscillators have turned overbought on weekly Charts and some have started to show negative divergence also.
Multiple supports between 8448-8565 and once valid break down of 8448 will mean sharp fall towards 8303 and below it also but firstly sustaining beyond last 21 sessions trading range(8518-8728) should be watched for next trend confirmations amid above mentioned deeper correction possibility because Post Budget rally is having character of rally continuation after consolidation within sideways market since its beginning from 29-02-2016.