Technical Analysis,Researches & Market Outlook For 22-07-2011
Nifty-Weekly Chart(21-Jul-2011):-
Technical Patterns and Formations in Weekly charts
1- Continuation Pattern Pennant formation
2- Falling Trend Line
3- 19 Months Rising Trend Line
4- MACD upward cross over
Conclusions
Bullish patterns in Weekly chart and weekly MACD upward cross are suggesting rally but correction is on for the last 3 weeks and high voltality is being seen in Indian and global markets. Daily new conflicting news from European countries and all the global markets are reacting on all that. As EU agrees on Greek aid therefore US Stocks advanced yesterday and in reactions all the Asian stocks are strong today morning.
As Nifty consolidated between 5535-5553 yesterday and Global markets are rallying today morning therefore indian markets will also open with good gains and firstly trade between 5565-5605 as well as prepare for next moves. Immediate resistance above this range is between 5606-5636 and today intraday consolidation between mentioned both ranges will mean beginning of rally above 5650 after 9 days sideways market. Weekly MACD is showing positive market signals and today intraday consolidation will mean rally after 5650 crossing.
Strong global news and cues and possibility of Greece problem solution therefore expected that Indian markets will consolidate today and strong rally above 5650 will be seen within couple of sessions.
Strong Global cues inviting Bulls therefore Whole day positive markets and Green closing with good gains expected today and for precaution sustaining beyond next resistance range of 5606-5636 will be watched for confirmations.
Nifty-Weekly Chart(21-Jul-2011):-
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| Just click on chart for its enlarged view |
1- Continuation Pattern Pennant formation
2- Falling Trend Line
3- 19 Months Rising Trend Line
4- MACD upward cross over
Conclusions
Bullish patterns in Weekly chart and weekly MACD upward cross are suggesting rally but correction is on for the last 3 weeks and high voltality is being seen in Indian and global markets. Daily new conflicting news from European countries and all the global markets are reacting on all that. As EU agrees on Greek aid therefore US Stocks advanced yesterday and in reactions all the Asian stocks are strong today morning.
As Nifty consolidated between 5535-5553 yesterday and Global markets are rallying today morning therefore indian markets will also open with good gains and firstly trade between 5565-5605 as well as prepare for next moves. Immediate resistance above this range is between 5606-5636 and today intraday consolidation between mentioned both ranges will mean beginning of rally above 5650 after 9 days sideways market. Weekly MACD is showing positive market signals and today intraday consolidation will mean rally after 5650 crossing.
Strong global news and cues and possibility of Greece problem solution therefore expected that Indian markets will consolidate today and strong rally above 5650 will be seen within couple of sessions.
Strong Global cues inviting Bulls therefore Whole day positive markets and Green closing with good gains expected today and for precaution sustaining beyond next resistance range of 5606-5636 will be watched for confirmations.