Sideways Nifty in a Broader Range
Intra Day Chart Analysis & Market Outlook
(05-05-2015)
Nifty-Intra Day Chart (04-May-2015):- |
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1- Consolidation between 8253-8266
2- Selling patterns formation between 8282-8300
3- Consolidation between 8262-8277
4- More than 5 hours Mixed Patterns formations between 8253-8300
5- Last half Hour Up moves in Bearish Rising Channel
6- Whole day actual trading between 8221-8346
Conclusions from intra day chart analysis
Following line was told at 04:44:00 PM on 03-05-2015 in "Technical Analysis and Market Outlook(04-05-2015)":-
Pull Back Rally will be considered in the beginning of next week
As was told 100% same happened and Nifty closed 150.45 points up today
Although today losing near the highs of the day today but some selling patterns were also seen today therefore more consolidation is firstly required for decisive up moves above today highest.
Following crucial and next trend decider levels were updated on 02-05-2015 in "Long Term Trend is at Stake & Bearish Patterns signalling Deeper Correction":-
1- 8186(Long Term Trend decider 200 Day EMA)- 1 sessions closing below it
2- 8269(Neckline of Bearish Head and Shoulders Pattern)- 2 sessions closing below it
3- 8353(Lower rising line of "9 Months Broadening Rising Channel")- 6 sessions closing below it
4- 7994(100% of Wave-'A')
Above mentioned first 3 levels were broken down and Nifty closed at 8181.50 on 30-04-2015 but strong rally 150 points today therefore:-
1- Long Term Up Trend is still intact because Nifty moved above 200 Day EMA after 1 day closing below it.
2- No confirmation of Bearish Head and Shoulders breaking down because Nifty moved above its Neckline after 2 day closing below it.
3- As 6 sessions closing below the lower rising line of "9 Months Broadening Rising Channel" therefore its breaking down confirmation and deeper correction risk.
4- No confirmation of corrective Wave-'C' completion therefore possibility of 100% of Wave-'A' down moves towards 7994 is also still alive.
Nifty crossed 2 resistances today and following 3 resistances were lying at higher levels:-
1- Resistances between 8230-8365
2- Resistances between 8431-8462
3- Resistances between 8486-8502
Although strong rally today but mixed patterns formations today and 3 resistances also above today highest therefore Nifty has to consolidate for fresh rally and sustaining above 8502. As 6 sessions closing below the lower rising line of "9 Months Broadening Rising Channel" therefore until Nifty will not sustain above lower rising line(8353) till then trend reversal will not be considered.
As completely mixed patterns on intraday and EOD charts therefore Nifty is not prepared for next trend and will remain sideways in a broader range between 8144-8502 as well as prepare for next trend.
Let market prepare for next trend between 8144-8502 then will updated from the analysis of intrady charts patterns formation in the same manner as being done for the last 5 years.