Firstly upward moves but finally correction continuation towards next supports
Technical Analysis,Research & Weekly Outlook
(Aug 19 to Aug 23,2024)
Nifty-Weekly Chart Analysis
(Waves structure)
Nifty-Weekly Chart (16-Aug-2024):-
Technical Patterns and Formations in Weekly charts
1- Corrective Wave-C of previous Waves structure "ABC correction" completion at 15183.40 on 17-06-2022 and Impulsive Wave-1 of new Waves structure beginning.
2- Impulsive Wave-1 completion at 18887.60 on 02-12-2022.
3- Corrective Wave-2 completion at 16828.30 on 24-03-2023.
4- Impulsive Wave-(i) of Wave-3 completion at 20222.45 on 15-09-2023.
5- Corrective Wave-(ii) of Wave-3 completion at 18837.80 on 27-10-2023
6- Impulsive Wave-(iii) of Wave-3 continuation with its recent high and new life time top formations at 25078.30 on 01-08-2024.
7- Short Term correction continuation with recent bottom formations at 23893.70 on 05-08-2024.
8- Pull Back rally continuation with recent top formations at 24563.90 on 16-08-2024
Conclusions from Weekly chart analysis
(Waves structure)
Impulsive Wave-1 of new Waves structure started from 15183.40 on 17-06-2022 after Corrective Wave-C of "ABC correction" of previous Waves structure completion at this level. Impulsive Wave-1 completed at 18887.60 on 02-12-2022 and from this level Wave-2 started which completed at 16828.30 on 24-03-2023 and Impulsive Wave-3 started from this level.
Impulsive Wave-(i) of Wave-3 completed at 20222.45 on 15-09-2023 and from this level corrective Wave-(ii) of Wave-3 begun which completed at 18837.80 on 27-10-2023 and impulsive Wave-(iii) of Wave-3 begun from this level. Although now Impulsive Wave-(iii) of Wave-3 is in continuation with its recent high and new life time top formations at 25078.30 on 01-08-2024 and no confirmation of its completion yet on Weekly charts also but Short Term correction started on 02-08-2024 which is in continuation with recent bottom formations at 23893.70. Pull Back rally begun on 06-08-2024 which is also in continuation with recent top formations at 24563.90 on 16-08-2024 and no confirmation of its completion also.
Nifty-Weekly Chart Analysis
(Stochastic & MACD)
Nifty-Weekly Chart (16-Aug-2024):-
Technical Patterns and Formations in Weekly charts
1- Stochastic- %K(5) line has intersected %D(3) line downward and its both lines are falling from Over bought zone.
2- Stochastic:- %K(5)- 53.81 & %D(3)- 67.78.
3- In MACD- MACD line has intersected Average line upward and its both lines are rising in positive zone.
4- MACD(26,12)- 1155.52 & EXP(9)- 845.74 & Divergence- 309.78
Conclusions from Weekly chart analysis
(Stochastic & MACD)
Technical positions of Intermediate Term indicators are as follows:-
1- As in Stochastic %K(5) line has intersected %D(3) line downward and its both lines are falling from Over bought zone therefore it will be understood that signals of Intermediate Term correction has begun and its continuation will be exp[ected in the coming week/weeks.
2- As in MACD indicator its MACD line has intersected Average line upward and its both lines are rising in positive zone also therefore it will be understood that MACD is confirming upward Trend formation and on going upward moves continuation possibility also.
Nifty-EOD Chart Analysis
(Stochastic & MACD)
Nifty-EOD Chart (16-Aug-2024):-
Technical Patterns and Formations in EOD charts
1- Impulsive Wave-(iii) of Wave-3 continuation with its recent high and new life time top formations at 25078.30 on 01-08-2024.
2- Short Term correction continuation with recent bottom formations at 23893.70 on 05-08-2024.
3- Pull Back rally continuation with recent top formations at 24563.90 on 16-08-2024
4- Stochastic- Its both lines %K(5) and %D(3) are kissing in the middle zone.
5- Stochastic:- %K(5)- 42.16 & %D(3)- 45.99.
6- In MACD- MACD line has intersected Average line downward and its both lines are falling in negative zone.
7- MACD(26,12)- -279.77 & EXP(9)- -45.47 & Divergence- -234.3
Conclusions from EOD chart analysis
(Stochastic & MACD)
Impulsive Wave-(iii) of Wave-3 continuation with its recent high and new life time top formations at 25078.30 on 01-08-2024 and no confirmation of its completion yet on EOD charts also but Short Term correction begun from this levels which is in continuation with recent bottom formations at 23893.70 on 05-08-2024 and no confirmation of its completion also on EOD charts. Pull Back rally started from this levels which is also in continuation with recent top formations at 24563.90 on 16-08-2024 and no confirmation of its completion also on EOD charts. Technical positions of Short Term indicators are as follows:-
1- As in Stochastic its both lines %K(5) and %D(3) are kissing in the middle zone therefore it will be understood that at present this indicator is not showing clear signals of any side immediate Short Term decisive moves. Let it show any side clear intersection then that seide Short Term noves will be seen.
2- As in MACD indicator its MACD line has intersected Average line downward and its both lines are falling in negative zone therefore it will be understood that this indicator is showing clear signals of Short Term downward trend formations.
Nifty-Intra Day Chart Analysis
(16-Aug-2024)
Nifty-Intra Day Chart (16-Aug-2024):-
Technical Patterns formation in today intraday charts
1- Volatility in first hour after gap up and 190 points positive opening
2- 190 points fall from intraday higher levels in first 75 minutes
3- Down moves in Bullish Falling Channel
4- One hour consolidation between 24205-24272
5- 4 Hours up moves with downward corrections
6- Whole day actual trading between 24205-24563
Conclusions from intra day chart analysis
Although volatility in first hour after gap up and 190 points positive opening and after that 190 points fall was also seen from intraday higher levels in first 75 minutes but some down moves were in Bullish Falling Channel and lower levels One hour consolidation also developed therefore up moves started which remained continued till last half hour. As these 4 hours Up moves were with downward corrections which is also a consolidation pattern therefore last Friday started up moves will remain continued in the beginning of next week also.
Conclusions (After putting all studies together)
1- Long Term Trend is up.
2- Intermediate Term trend is up.
3- Short Term Trend is up.
impulsive Wave-(iii) of Wave-3 continuation with its recent high and new life time top formations at 25078.30 and no confirmation of its completion yet on Weekly and EOD charts but Short Term correction started on 02-08-2024 and in continuation with recent bottom formations at 23893.70 on 05-08-2024 and no confirmation of its completion also. Now Pull Back rally continuation and no indication of its completion also on Weekly,EOD and Intraday charts therefore more up moves are expected towards next resistances in the beginning of coming week.
Although Intermediate Term MACD is suggesting upward Trend formations but both Intermediate Term Stochastic and Short Term MACD are showing Downward trend formations therefore expected that Nifty will not be able to sustain above higher levels resistance and finally downward moves will be seen towards following next supports:-
Resistances above last Friday closing are as follows:-
1- 24563-24686(Gap resistance)
2- 24791-24824
3- 24932-24954
4- 24974-25026
5- 25038-25067
Supports below last Friday closing are as follows:-
1- 24475-24497
2- 24394-24446
3- 24205-24272
4- 24117-24179
5- 23977-24094
6- 23932-24027