Firstly watch immediate Supports & levels amid crashing Global markets
Technical Analysis,Research &
Weekly Outlook(Feb 27 to Mar 03,2023)
Nifty-EOD Chart Analysis
(Waves structure)
Nifty-EOD Chart (24-Feb-2023):-
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- Impulsive Wave-[(i)] of Wave-1 completion at 18096.2 on 15-09-2022.
3- Corrective Wave-[(ii)] of Wave-1 completion at 16747.7 on 30-09-2022.
4- Impulsive Wave-(i) of Wave-[(iii)] of Wave-1 completion at 18887.6 on 01-12-2022.
5- Corrective Wave-(ii) of Wave-[(iii)] of Wave-1 continuation with recent bottom formations at 17353.40 on 01-02-2023.
6- Pull Back Rally completion at 18134.80 on 16-02-2023.
7- Fresh down moves continuation with recent bottom formations at 17421.80 on 24-02-2023.
Conclusions from EOD chart analysis
(Waves structure)
"ABC correction" of previous Waves structure completed at 15183.4 on 17-06-2022 and Impulsive Wave-1 of new "Waves structure" started. Wave-(i) of Wave-[(iii)] of Impulsive Wave-1 completed at 18887.6 on 01-12-2022 and its corrective Wave-(ii) begun which is in continuation with its recent bottom formations at 17353.40 on 01-02-2023 and no confirmation of its completion yet on EOD charts.
Although strong Pull Back Rally begun from 17353.40 on 01-02-2023 but completed at 18134.80 on 16-02-2023 and now its correction continuation with recent bottom formations at 17421.80 on 24-02-2023. As Pull Back Rally correction bottom(17421.80) is less than 100 points above corrective Wave-(ii) lowest(17353.40) therefore firstly 17353.40 should be watched in next week for corrective Wave-(ii) continuation/completion confirmations.
Nifty-EOD Chart Analysis
(Bollinger Band,Stochastic & MACD)
Nifty-EOD Chart (24-Feb-2023):-
Technical Patterns and Formations in EOD charts
1- Bollinger Band- Nifty tested Lower Band in last 2 sessions
2- Stochastic- Its both lines %K(5) & %D(3) are kissing in the Over sold zone
3- Stochastic:- %K(5)- 07.10 & %D(3)- 07.58.
4- MACD- Its both lines are kissing in the Middle zone
5- MACD(26,12)- -05.12 & EXP(9)- -0.74 & Divergence- -4.38
6- MACD is showing negative/positive divergence
Conclusions from EOD chart analysis
(Bollinger Band,Stochastic & MACD)
Positions of Daily indicators are as follows:-
1- Nifty tested Lower Band of Bollinger Band in last 2 sessions of previous week therefore until its Lower Band testing will not stop till then up moves will not start and on going down moves will remain continued.
2- As in Short Term indicator Stochastic its both lines are kissing in Over sold zone and not shown yet any up move beginning signal therefore it will be better to wait for up side moves beginning indications because this indicator remains in Over sold zone also long time during bigger corrections.
3- in MACD also its both lines are kissing in the Middle zone therefore this indicator is also not showing any side trend formations. Let its Downward/upward trend formation confirmation come through its MACD line intersection of Average line downward/upward and its both lines to move into in negative/positive zone then next trend formation will be understood accordingly.
Nifty-EOD Chart Analysis
(Averages)
Nifty-EOD Chart (24-Feb-2023):-
Technical Patterns and Formations in EOD charts
Averages:-
A- 5-Day SMA is today at 17640
B- 21-Day SMA is today at 17762
C- 55-Day SMA is today at 17997
D- 100-Day SMA is today at 18002
E- 200-Day SMA is today at 17368
Conclusions from EOD chart analysis
(Averages)
Nifty has closed below both Short and Intermediate Term averages last Friday but has not tested yet Long Term trend decider 200-Day SMA(today at 17368) during on going Wave-(ii) of Wave-[(iii)] of Wave-1 correction. As correction is very much on and no indication of its completion yet therefore firstly sustaining beyond 200-Day SMA should be watched in the coming week for on going correction continuation period confirmations.
Nifty-Intra Day Chart Analysis
(24-Feb-2023)
Nifty-Intra Day Chart (24-Feb-2023):-
Technical Patterns formation in today intraday charts
1- 84 Points fall in first 36 minutes after positive opening
2- Down moves with upward corrections
3- Support between 17422-17484 in last 3 hours(Immediate Supports)
4- Whole day actual trading between 17422-17599
Conclusions from
intra day chart analysis
As most Asian markets were trading in Red last Friday therefore firstly 84 Points fall was seen in first 36 minutes after positive opening and selling remained continued in Mid-session also through Down moves with upward corrections.
Although Nifty closed 45.45 points down last Friday but support were also seen at lower levels between 17422-17484 in last 3 hours therefore firstly sustaining beyond this range should be watched in the beginning of next week for:-
1- On going correction continuation confirmations below 17422.
2- First signal of correction completion above 17484.
Conclusions
(After putting all studies together)
1- Short Term Trend is down.
2- Intermediate Term Trend is down .
3- Long Term Trend is up but at stake and its future will be decided through sustaining beyond its decider 200-Day SMA which is today at 17368.
Corrective Wave-(ii) of Wave-[(iii)] of Wave-1 continuation with recent bottom formations at 17353.40 which is just below Long Term Trend decider 200-Day SMA(today at 17368) therefore firstly sustaining beyond 17353.40 should be watched in the coming week for the life and length of on going correction.
As US markets crashed in previous week and its Indices have shown long Black Weekly Candle formation also therefore most Global markets melted and Indian markets also participated in Global markets downward journey. Those US and most European markets which closed after Indian markets closure last friday have also closed more than 1% down therefore its impact on Indian markets trading may also be seen next Monday through firstly weaker opening and after that fresh downward moves beginning.
Next supports below last Friday closing(17465.80) are a follows:-
1- 17226-17374
2- 17106-17219
3- 17038-17097
4- 16948-17018(Gap support)
5- 16654-16746(Gap support)
6- 16565-16628
7- 16443-16494
8- 16360-16438(Gap support)
Next resistances above last Friday closing(17465.80) are a follows:-
1- 17522-17576
2- 17651-17685
3- 17736-17755
4- 17773-17800(Gap resistance)
5- 17866-17891
6- 17902-17924
7- 17949-18022
8- 18069-18132
9- 18155-18192
10- 18216-18240
11- 18345-18387(Strong resistances)
As sustaining beyond 17368 and 17353.40 will confirm Long Term trend therefore firstly sustaining beyond these 2 levels should be watched in next week for Long Term trend confirmations. Although crashing Global markets but Short Term indicators have turned Oversold and Nifty got supports also last Friday between 17422-17484(Immediate Supports) therefore if Nifty gets fresh supports within or near about this supports range in next week then fresh up moves will be seen and firstly sustaining it beyond should be watched in the beginning of next week for:-
1- First signal of Long Term Trend downward turning and deeper corretion beginning below 17422.
2- Strong Pull Back Rally beginning above 17484.