Emergence of Short to Intermediate Term correction possibility
Technical Analysis,Research & Weekly Outlook
(Mar 11 to Mar 15,2024)
Nifty-EOD Chart Analysis
(Waves structure)
Nifty-EOD Chart (07-Mar-2024):-
Technical Patterns and Formations in EOD 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 01-12-2022.
3- Corrective Wave-2 completion at 16828.30 on 20-03-2023.
4- Impulsive Wave-(i) of Wave-3 completion at 20222.45 on 15-09-2023 and Wave-A of "ABC" correction beginning.
7- Wave-A of Wave-(ii) of Wave-3 completion at 19333.60 on 04-10-2023.
8- Wave-B of Wave-(ii) of Wave-3 completion at 19849.80 on 17-10-2023.
9- Corrective Wave-C of Wave-(ii) of Wave-3 completion at 18837.80 on 26-10-2023 and impulsive Wave-(iii) of Wave-3 beginning.
10- Impulsive Wave-(iii) of Wave-3 continuation with its recent high and new life time top formations at 22525.70 on 07-03-2024.
Conclusions from EOD chart analysis
(Waves structure)
Impulsive Wave-1 of new Waves structure begun from 15183.4 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 01-12-2022 and corrective Wave-2 begun from this level which completed at 16828.30 on 20-03-2023.
Impulsive Wave-3 started from 16828.30 on 20-03-2023 and now its Wave-(iii) of Wave-3 is in continuation with its recent high and new life time top formations at 22525.70 on 07-03-2024 as well as no confirmation of its completion yet on EOD charts.
Nifty-EOD Chart Analysis
(Wave-3 structure)
Nifty-EOD Chart (07-Mar-2024):-
Technical Patterns and Formations in EOD charts
1- Impulsive Wave-(i) of Wave-3 completion at 20222.45 on 15-09-2023 and Wave-A of "ABC" correction beginning.
2- Wave-A of Wave-(ii) of Wave-3 completion at 19333.60 on 04-10-2023.
3- Wave-B of Wave-(ii) of Wave-3 completion at 19849.80 on 17-10-2023.
4- Corrective Wave-C of Wave-(ii) of Wave-3 completion at 18837.80 on 26-10-2023 and impulsive Wave-(iii) of Wave-3 beginning.
5- Impulsive Wave-(iii) of Wave-3 continuation with its recent high and new life time top formations at 22525.70 on 07-03-2024.
6- Bearish Rising Wedge pattern formations.
Conclusions from EOD chart analysis
(Wave-3 structure)
Although now Wave-(iii) of Wave-3 is in continuation and no confirmation of its completion yet on EOD charts but 'Bearish Rising Wedge" pattern formation is being seen on EOD charts and it has shown signals of Short to Intermediate Term correction beginning possibility therefore remain cautious in the coming week/weeks.
Nifty-EOD Chart Analysis
(Wave-(iii) of Wave-3 Trendline)
Nifty-EOD Chart (07-Mar-2024):-
Technical Patterns and Formations in EOD charts
1- Trendline formations in Wave-(iii) of Wave-3.
Conclusions from EOD chart analysis
(Wave-(iii) of Wave-3 Trendline)
Impulsive Wave-(iii) of Wave-3 is moving up with its Trendline formations. As valid break down of this Trendline will confirm next Short to Intermediate Term correction beginning therefore it should be finally watched in the coming week/weeks for the confirmations of such correction beginning.
Nifty-EOD Chart Analysis
(Stochastic & MACD)
Nifty-EOD Chart (07-Mar-2024):-
Technical Patterns and Formations in EOD charts
1- Stochastic- %K(5) line has intersected %D(3) line upward and its Both lines are kissing in Over bought zone.
2- Stochastic:- %K(5)- 89.87 & %D(3)- 90.64.
3- Stochastic is showing negative divergence
4- In MACD- MACD line has intersected Average line downward and its both lines are kissing in the positive zone.
5- MACD(26,12)- 202.53 & EXP(9)- 208.50 & Divergence- -5.97
6- MACD is showing negative divergence
Conclusions from EOD chart analysis
(Stochastic & MACD)
Technical positions of Short Term indicators are as follows;-
1- As in Stochastic indicator its %K(5) line has intersected %D(3) line upward and and its Both lines are kissing in Over bought zone as well as Stochastic is showing negative divergence therefore it will be understood that this indicator is showing Short Term correction beginning possibility.
2- As in MACD indicator its MACD line has intersected Average line downward and its both lines are kissing in the positive zone as well as MACD is showing negative divergence therefore it will be understood that this indicator is showing stronger signals of downward trend formations possibility.
Nifty-Intra Day Chart Analysis
(07-Mar-2024)
Nifty-Intra Day Chart (07-Mar-2024):-
Technical Patterns formation in today intraday charts
1- Down moves in Bullish Falling Channels
2- Consolidation between 22437-22466
3- Sharp up
4- Selling between 22494-22523
5- Whole day actual trading between 22431-22525
Conclusions from intra day chart analysis
Although gap up opening but firstly down moves started and Nifty traded 44 points negaive also. As these down moves were in Bullish Falling Channels and after that lower levels consolidation also developed therefore sharp up moves were seen after 11:00 AM.
As intraday selling developed in last more than 4 hours after lower levels consolidation patterns formations therefore whole day last Thursday trading will be understood with Mixed patterns formations between 22431-22525 and firstly sustaining beyond this range should be watched in the beginning of coming week for the next Short Term moves beginning confirmations.
Conclusions (After putting all studies together)
1- Long Term trend is up.
2- Intermediate Term trend is up.
3- Short Term Trend is up.
Although Impulsive Wave-(iii) of Wave-3 continuation with its recent high and new life time top formations at 22525.70 on 07-03-2024 and no confirmation of its completion yet on EOD and intraday charts but "Bearish Rising Wedge" pattern has been formed on EOD charts and indicators are also showing Short Term correction beginning possibility. As on going Impulsive Wave-(iii) of Wave-3 is now moving up with its trendline formations and finally valid break down of its trendline will confirm next Short to Intermediate Term correction beginning therefore it should be watched in the coming week/weeks for such correction beginning confirmations.
As intraday mixed patterns formations were seen between 22431-22525 last Thursday therefore Nifty will firstly trade and prepare for next Short Term moves within and near about last thursday trading range in the beginning of next week. Finally sustaining below last thursday trading range will confirm next Short Term moves beginning hence it should be firstly watched in the coming week for its confirmations.
Although higher levels good intraday selling was seen last Thursday but complete selling paterns are must for Short to Intermediate Term correction beginning. As "Bearish Rising Wedge" pattern formations and Indicators are also showing signals of correction beginning therefore it will be understood that Correction is on Cards.
Fresh intraday selling patterns formation in the coming week will mean high possibility of Short to Intermediate Term correction beginning and its final confirmation will be above mentioned Trendline break down. Let all this firstly happen in the coming week/weeks then correction will be seen towards following next supports which are below last week closing. As Short to Intermediate Term correction beginning possibility has emerged therefore finally following next supports should also be watched one by one for correction continuation/completion confirmations:-
1- 22437-22466
2- 22225-22344
3- 22146-22210
4- 21861-21962
5- 21795-21860
6- 21653-21690
7- 21544-21628
