Firstly upward moves & Short Term Correction beginning only after complete intraday selling patterns formations
Technical Analysis,Research & Weekly Outlook
(Sep 23 to Sep 27,2024)
Nifty-Weekly Chart Analysis
(Waves structure)
Nifty-Weekly Chart (20-Sep-2024):-
Technical Patterns and Formations in Weekly charts
1- Corrective Wave-C of previous Waves structure "ABC correction" completion at 15183.40 on 17-06-2022 and Impulsive Wave-1 of new Waves structure beginning.
2- Impulsive Wave-1 completion at 18887.60 on 02-12-2022.
3- Corrective Wave-2 completion at 16828.30 on 24-03-2023.
4- Impulsive Wave-(i) of Wave-3 completion at 20222.45 on 15-09-2023.
5- Corrective Wave-(ii) of Wave-3 completion at 18837.80 on 27-10-2023
6- Impulsive Wave-(iii) of Wave-3 continuation with its recent high and new life time top formations at 25849.25 on 20-09-2024.
Conclusions from Weekly chart analysis
(Waves structure)
Impulsive Wave-1 of new Waves structure begun from 15183.40 on 17-06-2022 after Corrective Wave-C of "ABC correction" of previous Waves structure completion at this level. Impulsive Wave-1 completed at 18887.60 on 02-12-2022 and from this level Wave-2 started which completed at 16828.30 on 24-03-2023 and Impulsive Wave-3 begun from this level.
Impulsive Wave-(i) of Wave-3 completed at 20222.45 on 15-09-2023 and from this level corrective Wave-(ii) of Wave-3 started which completed at 18837.80 on 27-10-2023 and impulsive Wave-(iii) of Wave-3 begun from this level. Now Impulsive Wave-(iii) of Wave-3 is in continuation with its recent high and new life time top formations at 25849.25 on 20-09-2024 and no indication of its completion yet on Weekly charts after previous week Weekly Long White Candle formations with closing at life time top.
Nifty-Weekly Chart Analysis
(Stochastic & MACD)
Nifty-Weekly Chart (20-Sep-2024):-
Technical Patterns and Formations in Weekly charts
1- Stochastic- Its both lines %K(5) and %D(3) are kissing in Over bought zone.
2- Stochastic:- %K(5)- 85.47 & %D(3)- 84.17.
3- In MACD- Its both MACD line and Average line are kissing in positive zone.
4- MACD(26,12)- 1123.68 & EXP(9)- 1127.89 & Divergence- -4.21
Conclusions from Weekly chart analysis
(Stochastic & MACD)
Technical positions of Intermediate Term indicators are as follows:-
1- As in Stochastic its both lines %K(5) and %D(3) are kissing in Over bought zone therefore it will be understood that at present this indicator is not showing any side decisive moves beginning signals. Let firstly downward intersection happen and its both lines to move below Over bought zone then Intermediate term correction beginning will be considered.
2- As in MACD indicator its both MACD line and Average lines are kissing in positive zone therefore it will be understood that at present this indicator is cautioning only and not confirming on going Upward Trend reversal. Let any side clear intersection happen then that side next Intermediate Term Trend formations and resultant that side decisive bigger moves beginning will be considered.
Nifty-EOD Chart Analysis
(Stochastic & MACD)
Nifty-EOD Chart (20-Sep-2024):-
Technical Patterns and Formations in EOD charts
1- Stochastic- %K(5) line has intersected %D(3) line downward and its both lines are falling from Over bought zone.
2- Stochastic:- %K(5)- 70.07 & %D(3)- 76.74.
3- In MACD- Its both MACD line and Average line are kissing in positive zone.
4- MACD(26,12)- 203.73 & EXP(9)- 215.86 & Divergence- -12.13
Conclusions from EOD chart analysis
(Stochastic & MACD)
Technical positions of Short Term indicators are as follows:-
1- As in Stochastic its %K(5) line has intersected %D(3) line downward and its both lines are falling from Over bought zone therefore it will be understood that this indicator has shown first signal of Short Term correction beginning which may be seen for cooling down heated sentiments after previous week strong rally.
2- As in MACD indicator its both MACD line and Average lines are kissing in positive zone therefore it will be understood that at present this indicator is not confirming any side bigger moves beginning. Let any side clear intersection happen then that side Short Term decisive moves will be seen after that side Short Term Trend formations.
Nifty-Intra Day Chart Analysis
(20-Sep-2024)
Nifty-Intra Day Chart (20-Sep-2024):-
Technical Patterns formation in today intraday charts
1- 90 Points down in first half hour after positive opening
2- Up moves with downward corrections
3- Selling between 25763-25805
4- 311 Points sharp fall in 12 minutes
5- Up moves with downward corrections
6- Whole day actual trading between 25427-25849
Conclusions from intra day chart analysis
Although firstly 90 points downward moves in first half hour after positive opening but after that up moves started with downward corrections which is a consolidation pattern therefore Nifty traded more than 400 points up also. As higher levels selling developed in Mid-Session amid heated sentiments therefore 311 points sharp fall was seen in 12 minutes after 01:25 PM.
As again last 2 hours Up moves were with downward corrections therefore most time consolidation patterns formations will be understood during last Friday intraday trading and more upward will be expected towards 26000 in the beginning of next week.
Conclusions
(After putting all studies together)
1- Long Term Trend is up.
2- Intermediate Term trend is up.
3- Short Term Trend is up.
Now Impulsive Wave-(iii) of Wave-3 is in continuation forcefully with its recent high and new life time top formations last Friday at 25849.25 and no signal of its completion yet on Weekly,EOD and intraday charts therefore its continuation will be seen in the coming week/weeks.
As Intermediate Term Weekly indicators are in kissing mode therefore possibility of Intermediate Term correction beginning can not be ruled out but until complete selling patterns will mot develop minimum on EOD and intraday charts till then Intermediate Term correction will not begin.
Although Short Term indicator Daily Stochastic has shown first signal of Short Term correction beginning but another Short Term indicator Daily MACD is not confirming any side Short Term Trend formations therefore only Short Term correction will be considered which may be sideways also. As last Friday intraday charts have shown most time consolidation patterns formations and minor selling patterns formations therefore firstly upward moves are expected in the beginning of next week. It should be kept in mind that until complete intraday selling patterns will not develop till then even Short Term correction will not be seen. Let complete intraday selling patterns develop then Short Term correction will be considered towards following next supports which should also be watched one by one for the life and length of correction:-
1- 25650-25704
2- 25554-25586
3- 25377-25466
4- 25324-25373
5- 24942-25062(Strong Supports)
6- 24894-24927
7- 24816-24872