Finally rally above life time highest after expected Short Term correction completion
Technical Analysis,Research & Weekly
Outlook(Dec 05 to Dec 09,2022)
Nifty-EOD Chart Analysis
(Waves structure)
Nifty-EOD Chart (02-Dec-2022):-
Technical Patterns and Formations in EOD charts
1- Corrective Wave-C of "ABC correction" completion at 15183.4 on 17-06-2022 and Impulsive Wave-1 of new Waves structure beginning
2- Wave-i of Wave-1 completion at 18096.2 on 15-09-2022.
3- Wave-ii of Wave-1 completion at 16747.7 on 30-09-2022.
4- Wave-iii of Wave-1 continuation with recent top formation at 18887.6 on 01-12-2022.
Conclusions from EOD chart
analysis(Waves structure)
Highest of previous Waves structure and Nifty life time top was at 18604.50. This levels was broken out ie crossed on 28-11-2022 and new Waves structure begun which is in continuation with recent top formation at 18887.6 on 01-12-2022.
As new Waves structure beginning and Indian markets are most Bullish therefore such up moves of nifty will be expected as was seen in previous Waves structure in which Nifty gained 11093.4 points in almost 21 months during its Bullish journey from 7511.10 on 24-03-2020 to 18604.50 on 19-10-2021.
Nifty-EOD Chart Analysis
(Stochastic & MACD)
Nifty-EOD Chart (02-Dec-2022):-
Technical Patterns and Formations in EOD charts
1- Impulsive Wave-1 continuation with recent top formation at 18887.6 on 01-12-2022.
2- Stochastic- %K(5) line has intersected %D(3) line downward and its both lines are falling in Over bought zone.
3- Stochastic:- %K(5)- 79.29 & %D(3)- 84.75.
4- MACD- Its both lines are kissing in positive zone.
5- MACD(26,12)- 214.93 & EXP(9)- 217.59 & Divergence- -2.66
Conclusions from EOD chart analysis
(Stochastic & MACD)
Impulsive Wave-1 continuation with recent top formation at 18887.6 on 01-12-2022 and no indication of its completion yet on EOD charts. Positions of Short Term indicators are as follows:-
1- In Stochastic indicator %K(5) line has intersected %D(3) line downward and its both lines are falling in Over bought zone therefore suggesting strong signals of Short Term correction beginning.
2- In MACD its both lines are kissing in positive zone therefore not showing any Short Term signal. Let any side intersection happen then Short Term trend should be understood according to its cross over direction.
Nifty-Intra Day Chart Analysis
(02-Dec-2022)
Nifty-Intra Day Chart (02-Dec-2022):-
Technical Patterns formation in today intraday charts
1- More than 100 points down in first hour after weak opening
2- Selling between 18691-18713
3- Sharp fall in Mid-session
4- Up moves with downward corrections in last 3 hours.
5- Whole day actual trading between 18640-18781
Conclusions from intra day
chart analysis
As firstly more than 100 points down in first hour after weak opening and after that selling between 18691-18713 therefore sharp fall was seen in Mid-session. Last 3 hours Up moves were with downward corrections also therefore lower levels consolidation will also be understood hence last friday trading will be understood with Mixed patterns formations because higher levels selling and lower levels buying was seen.
Expected that Nifty will firstly trade and prepare for next decisive moves within and near about last Friday trading range(18640-18781) and finally sustaining beyond this range will confirm it hence should be firstly watched in the beginning of next week.
Conclusions
(After putting all studies together)
All the trends are up and Wave-1 of newly developed Waves structure continuation with recent top formation at 18887.6 on 01-12-2022 as well as no confirmation of its completion yet on EOD and intraday charts.
As Short Term indicators are showing Short Term correction beginning signals and higher levels selling was seen in last 2 sessions also therefore some down more moves may also be seen in next week but lower levels some consolidation was also seen above 18640 last Friday therefore firstly sustaining it beyond should be watched in next week for Short term correction beginning first strong signal. Next supports and resistances of Nifty are as follows:-
Next Supports are as follows:-
1- 18617-18666
2- 18527-18554
3- 18357-18405
4- 18246-18272
5- 18198-18225
6- 18134-18163
Next Resistances are as follows:-
1- 18691-18713
2- 16639-18868
As sentiment has turned heated after Wave-1 strong rally and new life time top formation therefore higher levels selling was seen in previous week. As Short Term indicators are also showing short Term correction beginning signals therefore Short Term correction may be firstly seen towards above mentioned supports in next week but expected that finally rally above life time highest(18887.6) will be seen after expected Short Term correction completion.
