Technical Analysis,Research & Weekly Outlook
(May 07 to May 11,2012)
Nifty-Intra Day Chart (04-May-2012):-
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| Just click on chart for its enlarged view |
Technical Patterns and Formations in today intraday charts
1- Down moves in Falling Channel without selling formations.
2- Intraday charts are showing showing consolidation pstterns.
3- Last more than 2 hours trading between 5071-5106 with intraday support and consolidation pstterns at lower level.
3- Whole day trading between 5071-5175
Conclusions from intra day chart analysis
As almost whole day sharp down moves with intraday consolidation patterns and panic bottom formations with lower levels support also in last more than 2 hours therefore signals correction completion.
Nifty-EOD Chart (4-May-2012):-
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| Just click on chart for its enlarged view |
Technical Patterns and Formations in EOD charts
1- Rally started on 20-12-2011 from 4532.
2- 1098.80 Nifty Points rally in 45 sessions.
3- Rally completion and correction started on 22-02-2012 from 5629.
4- 51 Sessions correction in Falling Channel(Bullish Flag Formation)
5- 3 Times support at 200-Day SMA in previous sessions.
6- 200-Day SMA(Today at 5117) broken down forcefully on 04-05-2012
Conclusions (After Putting All Studies Together)
Fibonacci Retracement Levels of 1098.80 Nifty Points rally(4531-5629) are as follows:-
13.0%- 5486(Tested)
23.6%- 5369(Tested)
27.0%- 5332(Tested)
38.2%- 5209(Tested)
50.0%- 5080(Tested)
61.8%- 4950
70.7%- 4852
76.4%- 4790
78.6%- 4765
88.6%- 4656
51 Sessions Correction is on in Falling Channel(Bullish Flag Formation) after 1098.80 Nifty Points rally and 200-Day SMA(Today at 5117) broken down forcefully on 04-05-2012,it is weakness indication. As correction completion has been seen many times after breaking down of 200-Day SMA during Intermediate term correction therefore sustaining beyond 200-Day SMA will be firstly watched in next week for the confirmation of Indian stock markets Long Term Trend.
Nifty slipped below 5136 on 04-05-2012 and it has fulfilled the technical requirement of 'B3' formation,its detailed analysis and possibility of slipping below 5136 has already been updated in following topic on 15-04-2012:-
Lower Tops and Lower Bottoms Formation In On Going Correction
(Just click at above topic link and go through)
Global Crashing like situation after huge fall in all the US and European markets therefore weekly opening may be weak but firstly sustaining beyond 200-Day SMA(today at 5117) should be watched in the next couple of sessions because it will give confirmation of Long Term Trend survival.
Last Friday down moves were with intraday consolidation patterns and panic bottom formations also has been seen therefore correction completion possibility is alive near about 5080(50.0% Fibonacci Retracement Levels) and 200-Day SMA. As technical requirement of 'B3' formation has been fulfilled last Friday and on going correction is in Falling Channel(Bullish Flag Formation) therefore expected that finally strong rally will be seen after correction completion.
