Firstly Sideways Market for More than 3% One Sided Big Moves Preparations
Intra Day Chart Analysis & Market Outlook
(18-03-2016)
Nifty-Intra Day Chart (17-Mar-2016):- |
| Just click on chart for its enlarged view |
1- 5 Hours Mixed Patterns between 7542-7585
2- Down moves in last hours
3- Whole day actual trading between 7480-7585
Conclusions from intra day chart analysis
As Stock markets favouring announcements by FOMC and resultant all the Asian markets were trading strong therefore gap up opening of Indian markets but not sustaining at higher levels and closing near the levels of the day after loosing more than 100 points from higher levels because:-
1- As such consolidation patterns were not seen and first 5 Hours trading was with Mixed Patterns formations.
2- Indian markets under performed Asian markets and some selling was seen.
3- Real down moves started after 02:00 PM because:-
A- Dow's Futures slipped 120 points between 02:00 PM and 03:30 PM today and started recovering within 30 minutes after Indian markets closing.
B- All the European markets started to slip after 02:00 PM today and begun recovering within 30 minutes after Indian markets closing.
Following resistances were updated on 14-03-2016 in "Still Decisive Up Moves Expectations" and also updated many times earlier:-
1- 7500-7543
2- 7556-7600(strong resistances)
As more than 5 hours today trading within above mentioned resistance ranges with Mixed Patterns formations and strong resistances are also lying between 7556-7600 therefore firstly Nifty has to consolidate for decisive up moves above 7600. Good supports above 7405 and equally good resistances below 7600 therefore Nifty will trade sideways and prepare for next decisive moves between 7405-7600 in the coming 1/2 sessions.
Last 10 sessions trading between 7405-7585 and resistances are up to 7600 therefore it is confirm that valid break out of 7405-7600 will produce more than 3% one sided big moves. As Mixed patterns formations between 7542-7585 today therefore sustaining it beyond will be first indication and should be firstly watched.
As today last hours down moves were on the back of Dow's Futures and European markets therefore view will not be Bearish despite today closing near the lower levels of the day. Valid break out of above mentioned crucial levels should be firstly watched because Nifty has to prepare for next big decisive moves within and near about these levels.