Technical Analysis and Research For 26-04-2012
Nifty-Intra Day Chart (25-Apr-2012):-
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| Just click on chart for its enlarged view |
1- More than 7 hours selling between 5208-5236 in last 2 sessions.
2- Support between 5161-5195
3- Whole day trading between 5161-5236
Conclusions from Previous Topics
Although more than 50 points of Nifty fall was seen today just before 11:59 AM on 13-04-2012 but we cautioned clearly before this fall and clearly told following lines:-
1- We told following line in "More Down moves possibility is still alive" at 12:18AM (mid night) on 25-04-2012:-
finally Nifty will not sustain above 5232 and more down moves possibility is still alive as well as slipping below 5200 is possible.
2- We told following line in "Post-open Outlook-2" at 11:18 AM on 25-04-2012 :-
Intraday selling patterns at higher levels today.
Lower Tops and Lower Bottoms Formation in EOD Chart:-
Following topic was posted on 13-04-2012. Just click following topic link and understand next moves possibility:-
Lower Tops and Lower Bottoms Formation In On Going Correction
Conclusion from above topic:-
As lower tops and lower bottoms formations in on going correction therefore new bottom B3 formations possibility below 5135.95 can not be ruled out in the coming sessions.
Next most crucial Supports:-
As correction is on therefore following 2 most crucial supports should also be kept in mind:-
1- Next support range 5136-5167(tested today)
2- Two times support at Long term Trend decider 200 Day SMA in on going correction and 200-Day SMA is today at 5132.
Importace of Long term Trend decider 200 Day SMA:-
Importace of 200 Day SMA support has already been updated in following 2 topics. Just click following topic links and go through:-
1- Posted on 15-04-2012- Last corrective Wave before Strong Bullish Rally
2- 24-04-2012- Next Trend decider & Most Crucial 200-Day SMA
Conclusion from above topics:-
Correction is on and its testing as well as slipping below it also can not be ruled out in the coming sessions but until Nifty will not sustain below Long term Trend decider 200-Day SMA till then Bullish market possibility will remain alive.
Bullish 'Flag Pattern' Formations:-
Correction continuation with Bullish 'Flag Pattern' Formation in EOD Chart therefore expected that finally strong rally will be seen after correction completion and in this regard following topic was posted on 08-04-2012. Just click following topic link and go through:-
Bullish 'Flag Pattern' Formation in EOD Chart
Conclusions (After Putting All Studies Together)
Let market completely consolidate and form base then up moves will be considered otherwise more down moves will be seen. As correction is very nuch on and no cofirmation of its completion yet therefore its continuation can not be ruled out at this moment.
Volatile session on 25-04-2012 because lower levels supports seen after higher levels selling and firstly trading will be seen within the highs and lows of last 2 sessions(5161-5239).
Although Nifty recovered 50 points after lower levels support and Double Bottom formation on 25-04-2012 but not sufficient and complete consolidation with base formation is required for correction completion. As 7 hours selling between 5208-5236 in last 2 sessions and until Nifty will not sustain above 5236 till then any rally will not be considered.
Up moves confirmation will be minimum after sustaining above 1st Resistance(5236) and high possibility of support getting at or near about following most crucial support levels
1- 5136
2- 5132(200-Day SMA)
Expected that strong rally will begin after getting support near about above levels and 2 months correction completion.