Correction continuation towards next supports
Intra Day Chart Analysis & Market Outlook
(21-01-2020)
Nifty-Intra Day Chart (20-Jan-2020):- |
| Just click on chart for its enlarged view |
1- Slipping 55 points in first minute after gap up opening
2- Down moves continuation
3- More than 4 hours selling between 12238-12320(Immediate Resistances)
4- Whole day actual trading between 12217-12430
Conclusions from intra day chart analysis
Following lines were told on 18-01-2020 in "Good Budget will mean strong rally towards 13870.95":-
1- As Short Term indicators have turned overbought and Oscillators are also showing negative divergence therefore emergence of Short Term correction possibility.
2- Nifty traded sideways within 110 points between 12279-12389 in last 5 sessions of previous week which is a signal of time wise correction beginning and that may remain continued in next week also
Correction continuation possibility was told on 18-01-2020 for this week and that seen today
Although gap up opening but Nifty slipped 55 points in first minute and after that whole day down moves with more than 4 hours selling between 12238-12320 as well as closing below last 5 sessions trading range(12279-12389) therefore today started correction will remain continued and until Nifty will not sustain above 12320 after complete consolidation till then decisive up moves will not be seen.
As next supports are lying above 11960 therefore correction should stop above or near about it and Nifty will prepare for Post Budget decisive moves within 11960-12279 in the coming weeks.
Complete fresh consolidation is required for next rally beginning and that will be finally seen also but before that correction continuation is expected towards next supports(11960).