Up moves Expectations above 7338
Intra Day Chart Analysis & Market Outlook
(22-01-2016)
Nifty-Intra Day Chart (21-Jan-2016):- |
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1- Most time trading below 7338
2- Down moves in Bullish Falling Channels
3- Higher bottom formation
3- Whole day actual trading between 7250-7398
Conclusions from intra day chart analysis
Following lines were told yesterday in "Correction Continuation after follow up Selling" and repeated in both Outlooks of today:-
1- more than 4 hours Mixed Patterns between 7294-7338 today
2- Nifty will firstly trade within today trading range(7242-7338)
3- complete consolidation is required for on going big correction completion.
Although strong opening today but not sustaining at higher levels because as such lower levels consolidation could not develop and more than 4 hours trading with Mixed Patterns formations between 7294-7338 was seen yesterday. As complete consolidation was firstly required for decisive up moves and on going big correction completion therefore fresh consolidation in the form of Down moves in Bullish Falling Channels emerged below 7338 today.
"Nifty will firstly trade within today trading range(7242-7338)" was told yesterday and Nifty traded most time within 7250-7338 with consolidation patterns formations and higher bottom formation today. As supports was seen between 7242-7270 also yesterday therefore Recent good supports formations will be understood between 7242-7338 and once valid break out of 7338 will mean Pull Back Rally towards following next resistances:-
1- Resistances between 7504-7562
2- Resistances between 7552-7606
3- Resistances between 7614-7640
Up moves above 7338 and towards 7504 are expected now and:-
1- Firstly watch valid break out of 7242-7462 for next Short Term Trend confirmations.
2- Finally sustaining above 7640 will mean strong indication of correction completion.