Technical Analysis,Research & Weekly Outlook (Feb 21 to Feb 24,2012)
Technical Analysis and Research of EOD and Intra Day Charts,Technical Positions,next possibilities have already been explained in following topics with 4 Charts therefore not being repeated. Just click following topic links and go through detailed analysis for trading in next week:-
1- Slipping below 5500 expected
2- 4 Strong Base Formations & Supports before 2012 Rally
3- Fibonacci Retracement Levels(6338-4532)
4- 3 Crucial Resistances & 4 Crucial Supports
All trends are up after 20-12-2011 strong rally and Nifty tested next resistance range(5600-5700) on 17-02-2012. Nifty has surged 1075 in very short period therefore all the daily indicators are overbought and some are showing negative divergence also therefore minimum Very Short Term correction is technically due now.
Running Bullish rally is on and its characters are as follows:-
1- Market firstly require intraday selling patterns and then follow up selling as well as complete distribution patterns minimum on Daily charts then Short term correction will be seen.
2- One day intraday selling and intraday distribution patterns may result only intraday correction or very short term minor correction if follow up selling develops in the coming sessions.
3- Running Bullish markets complete its corrections in sideways moves and correction is completed at higher levels consolidation also.
Indian markets slipped from intraday higher levels on 17-12-2011 after higher levels intraday good selling and follow up selling on next trading day will mean eruption of above mentioned 3 types of correction in the next week.
As Indian markets have to cross next resistances between 5600-5700 and sentiment is boiling therefore minimum very short term correction is expected in the beginning of next week for cooling down of sentiment as well as in the process of preparation for crossing of next resistance. As last two sessions intraday selling patterns therefore very short term correction is very much possible in the beginning of next week.
Finally rally is expected after completion of possible very short term correction in next week.
Technical Analysis and Research of EOD and Intra Day Charts,Technical Positions,next possibilities have already been explained in following topics with 4 Charts therefore not being repeated. Just click following topic links and go through detailed analysis for trading in next week:-
1- Slipping below 5500 expected
2- 4 Strong Base Formations & Supports before 2012 Rally
3- Fibonacci Retracement Levels(6338-4532)
4- 3 Crucial Resistances & 4 Crucial Supports
Conclusions (After Putting All Studies Together)
All trends are up after 20-12-2011 strong rally and Nifty tested next resistance range(5600-5700) on 17-02-2012. Nifty has surged 1075 in very short period therefore all the daily indicators are overbought and some are showing negative divergence also therefore minimum Very Short Term correction is technically due now.
Running Bullish rally is on and its characters are as follows:-
1- Market firstly require intraday selling patterns and then follow up selling as well as complete distribution patterns minimum on Daily charts then Short term correction will be seen.
2- One day intraday selling and intraday distribution patterns may result only intraday correction or very short term minor correction if follow up selling develops in the coming sessions.
3- Running Bullish markets complete its corrections in sideways moves and correction is completed at higher levels consolidation also.
Indian markets slipped from intraday higher levels on 17-12-2011 after higher levels intraday good selling and follow up selling on next trading day will mean eruption of above mentioned 3 types of correction in the next week.
As Indian markets have to cross next resistances between 5600-5700 and sentiment is boiling therefore minimum very short term correction is expected in the beginning of next week for cooling down of sentiment as well as in the process of preparation for crossing of next resistance. As last two sessions intraday selling patterns therefore very short term correction is very much possible in the beginning of next week.
Finally rally is expected after completion of possible very short term correction in next week.