Technical Analysis,Research & Weekly Outlook
(Mar 18 to Mar 22,2014)
Recent top formation at 6,562.85 on 11-03-2014 but well before its happening we told following line on 21-10-2013 in Minimum target of Nifty at 6724.60
Nifty is well set for rally towards minimum target at 6724.60.
Nifty formed new top of rally in previous week but well before its happening following 5 Weekly analysis topics with Bullish views were posted in previous 5 weeks:-
1- Firstly Short Term Correction before Next Rally(Posted on 09-03-2014)
2- Rally Continuation after Very Short Term Correction(Posted on 02-03-2014)
3- Bullish Rally continuation(Posted on 23-02-2014)
4- View is Bullish(Posted on 16-02-2014)
5- Bullish Week Ahead(Posted on 09-02-2014)
(Just click on above topic and understand technical reasons of Bullish rally with calculation of next targets)
Nifty-EOD Chart (14-Mar-2014):-
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| Just click on chart for its enlarged view |
1- Bottom formation at 5118.85 on 28-08-2013 and Wave-1 beginning
2- Wave-1(6142.50 on 19-09-2013)
3- Wave-2(5700.95 on 01-10-2013)
4- Wave-i of Wave-3(6415.25 on 09-12-2013)
5- Wave-ii of Wave-3(5933.30 on 04-02-2014)
6- Wave-iii of Wave-3 continuation
Conclusions from EOD chart analysis
All trends are up and impulsive Wave-3 continuation. As per Elliot Wave theory "Wave-3 continuation toward following minimum targets:-
1- 6647.60
2- 6724.60
(Calculation of above targets have already been updated on 09-03-2014 in Firstly Short Term Correction before Next Rally
Nifty-Intra Day Chart (Mar 13 & Mar 14,2014)
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| Just click on chart for its enlarged view |
1- Selling between 6543-6561 on 13-03-2014
2- consolidation between 6433-6447 on 14-03-2014
3- 2 Sessions actual trading between 6433-6561
Conclusions from 2 Sessions intra day chart analysis
Last 2 sessions trading between 6433-6561 with higher levels good selling and lower levels good buying also therefore Nifty will firstly trade between this range and prepare for next trend and sustaining beyond this range will be next Short/Intermediate term trend confirmation.
Conclusions (After Putting All Studies Together)
All trends are up but Short Term indicators are overbought and higher levels selling was seen in previous week therefore fresh consolidation and sustaining above previous week highest(6562) is must for next rally. As good consolidation was seen at lower levels last Friday therefore fresh selling is also required for sustaining below last Friday lowest(6433)
Both higher levels selling and lower levels buying as well as Weekly Doji Candle(means confusion) formation therefore Nifty will firstly trade and prepare for next trend between 6433-6561 as well as sustaining beyond this range should be watched for:-
1- Minimum Short Term correction below 6433.
2- Rally towards 6647.60/6724.60 above 6561.