Nifty-Intra Day Chart (20-Oct-2014):-
Technical Patterns and Formations in today intraday charts
1- Selling between 7894-7905
2- Down moves in Bullish Falling Channel
3- Whole day actual trading between 7857-7905
Although sharp down moves in previous week and crucial supports were also broken down but we told again and again for the requirement of broken down confirmation in all the Outlooks of previous week. As consolidation patterns were seen last Friday therefore strong rally possibility was also told yesterday and Nifty closed 1.28% up today.
Although firstly selling after huge gap up opening today but down moves in Bullish Falling Channel formation also seen therefore today started rally continuation hopes are alive because following multiple Supports below today lowest:-
1- 7816-7846
2- 7796-7827
3- 7724-7764
As following resistances are also lying at higher levels therefore follow up consolidation is must for rally continuation:-
1- 7900-7937
2- 7955-7972
3- 8012-8030
Last 14 sessions sideways trading between 7724-8030 with above above supports/resistances therefore Nifty will trade and prepare for next decisive moves within this range in the coming sessions. Sustaining below 7724 will be deeper correction confirmation and sustaining above 8030 will be strong indication of fresh rally after correction completion.
 |
| Just click on chart for its enlarged view |
1- Selling between 7894-7905
2- Down moves in Bullish Falling Channel
3- Whole day actual trading between 7857-7905
Conclusions from intra day chart analysis
Although sharp down moves in previous week and crucial supports were also broken down but we told again and again for the requirement of broken down confirmation in all the Outlooks of previous week. As consolidation patterns were seen last Friday therefore strong rally possibility was also told yesterday and Nifty closed 1.28% up today.
Although firstly selling after huge gap up opening today but down moves in Bullish Falling Channel formation also seen therefore today started rally continuation hopes are alive because following multiple Supports below today lowest:-
1- 7816-7846
2- 7796-7827
3- 7724-7764
As following resistances are also lying at higher levels therefore follow up consolidation is must for rally continuation:-
1- 7900-7937
2- 7955-7972
3- 8012-8030
Last 14 sessions sideways trading between 7724-8030 with above above supports/resistances therefore Nifty will trade and prepare for next decisive moves within this range in the coming sessions. Sustaining below 7724 will be deeper correction confirmation and sustaining above 8030 will be strong indication of fresh rally after correction completion.
As Bullish Flag formation in last 26 sessions correction on EOD charts and lower levels supports were also seen in previous sessions therefore deeper correction is not expected and strong indication of fresh strong rally above all time high after consolidation/supports confirmations above 7724.