Watch next supports during
expected correction in next week
Technical Analysis,Research & Weekly
Outlook(Jan 11 to Jan 15,2022)
Nifty-EOD Chart Analysis
(Stochastic & MACD)
Nifty-EOD Chart (04-Jan-2022):-
Technical Patterns and Formations in EOD charts
1- Impulsive Wave-5 completion after new life time top formation at 18604.50 on 19-10-2021 and corrective Wave-A of "ABC' correction beginning.
2- Corrective Wave-A of "ABC" correction continuation with recent bottom formations at 16410.20 on 20-12-2021 and no confirmation of its completion yet.
3- Pull Back Rally continuation with recent top formation at 17944.70 on 05-01-2022
4- Stochastic- %K(5) line has intersected %D(3) line downward and its both lines are falling in bought zone.
5- Stochastic is showing negative divergence
6- Stochastic:- %K(5)- 81.97 & %D(3)- 89.13.
7- In MACD- MACD line has intersected Average line upward and its both lines are rising in positive zone.
8- MACD(26,12)- 244.73 & EXP(9)- 15.33 & Divergence- 229.40
Conclusions from EOD chart analysis
(Stochastic & MACD)
Pull Back Rally which started from 16410.20 on 20-12-2021 is in continuation with recent top formation at 17944.70 on 05-01-2022 and confirmation its completion yet.
As in Stochastic %K(5) line has intersected %D(3) line downward and its both lines are falling in bought zone as well as it has shown negative divergence therefore it is suggesting strong signals of down moves beginning in next week.
As in MACD MACD line has intersected Average line upward and its both lines are rising in positive zone therefore it showing upward trend formations.
Conclusion from these 2 indicators is that Short Term correction will be seen in next week but will not be deep because in MACD both lines are rising in positive zone.
Nifty-Last 4 Sessions intraday
charts analysis
Nifty-Intra Day Chart (Jan 04 to Jan 07,2022):-
Technical Patterns formation in last 4 Sessions intraday charts
1- Selling(Resistances) in last 4 Sessions are as follows:-
A- 17854-17905
B- 17921-17944
2- Consolidation(Supports) in last 4 Sessions are as follows:-
A- 17656-17727
3- Last 4 Sessions actual trading between 17594-17944
Conclusions from 4 Sessions
intra day chart analysis
Last 4 Sessions sideways trading between 17594-17944 with above mentioned supports and resistances. As lower levels supports and higher levels resistances are almost equal stronger therefore Nifty will firstly trade and prepare for next decisive moves beginning within last 4 Sessions trading range(17594-17944),finally sustaining it beyond will confirm it hence should be firstly watched in next week for fate of that Pull Back rally which begun from 16410.20 on 20-12-2021.
Nifty-Intra Day Chart Analysis
(07-Jan-2022)
Nifty-Intra Day Chart (07-Jan-2022):-
Technical Patterns formation in today intraday charts
1- Selling between 17854-17905
2- Down moves with upward corrections
3- Up moves in Bearish Rising Channel
4- Whole day actual trading between 17705-17905
Conclusions from intra day chart analysis
Although firstly 159 points up moves after positive opening but higher levels selling developed and after that follow up selling was also seen through Down moves with upward corrections therefore Nifty traded in negative zone also after loosing all first 2 hours intraday gains.
As Up moves in Bearish Rising Channels were also seen in last 3 hours therefore whole day good intraday selling will be understood last Friday and down moves will be seen below last Friday lowest(17705) in next week.
Conclusions
(After putting all studies together)
All the trends have turned up during on going Pull Back rally and no confirmation of its completion yet but firstly its correction is expected in next week because:-
1- Higher levels good intraday selling was seen in previous week.
2- Stochastic is showing negative divergence and its both lines are falling in overbought zone.
Firstly above mentioned last 4 sessions supports and after that following supports below last 4 sessions lowest(17594) should be watched in next week because slipping below it will also be seen during on going Pull Back Rally expected correction:-
1- 17177-17233
2- 16884-17093
3- 16820-16918
4- 16739-16782
5- 16411-16530