Firstly Watch Crucial Levels for the Fate on going Pull Back Rally
Technical Analysis,Research & Weekly Outlook
(Dec 28,2015 to Jan 01,2016)
Nifty-EOD Chart (24-Dec-2015):-
 |
| Just click on chart for its enlarged view |
Technical Patterns and Formations in EOD charts
1- 7551.05 on 14-12-2015(Pull back rally beginning)
2- Recent top formation at 7888.75 on 24-12-2015
3- Last 6 sessions sideways market between 7734-7888 with force less up moves
Conclusions from EOD chart analysis
Long Term correction is on and more than 300 points Pull back rally continuation after getting supports at 7551.05 on 14-12-2015. As no confirmation of its completion on EOD charts therefore its continuation will be expected but last 6 sessions sideways market between 7734-7888 with force less up moves therefore emergence of on going Pull back rally completion indication.
Last 6 sessions Intra Day Chart Analysis
Nifty-Intra Day Chart (Dec 17 to Dec 24,2015):-
 |
| Just click on chart for its enlarged view |
Technical Patterns and Formations in last 6 Sessions intraday charts
1- Consolidation between 7738-7772 on 17-12-2015
2- Up moves in Bearish Rising Channel in last hours on 17-12-2015
3- Selling between 7793-7836 on 18-12-2015
4- Selling between 7800-7840 on 21-12-2015
5- More than 4 hours up moves in Bearish Rising Channel on 22-12-2015
6- Almost whole day up moves in Bearish Rising Channel on 23-12-2015
7- Most time sideways trading within 18 points between 7851-7869 with lower levels supports on 24-12-2015
8- 6 Sessions trading between 7734-7888
Conclusions from 6 Sessions intra day chart analysis
Last 6 Sessions trading between 7734-7888 with higher levels selling also within this range therefore valid break down of this range will be confirmation of on going Pull Back Rally termination. As lower levels supports were also seen within this range therefore finally valid break out of this range should be watched for the confirmation of on going Pull Back rally continuation/completion.
Last 2 sessions Intra Day Chart Analysis
Nifty-Intra Day Chart (Dec 23 & Dec 24,2015):-
 |
| Just click on chart for its enlarged view |
Technical Patterns and Formations in last 2 Sessions intraday charts
1- Almost whole day up moves in Bearish Rising Channel on 23-12-2015
2- Most time sideways trading within 18 points between 7851-7869 with lower levels supports on 24-12-2015
3- Last 2 sessions most time trading within 30 points between 7841-7871
Conclusions from 2 Sessions intra day chart analysis
Last 2 sessions most time trading within 30 points between 7841-7871 and valid break out of this range will be first strong indication of on going Pull Back rally continuation/completion and should be firstly watched in the beginning of next week.
Conclusions (After Putting All Studies Together)
Detailed analysis of EOD Charts with patterns formations have already been updated in following previous weekly analysis topics:-
1- On 29-11-2015: "Bullish Flag Formation in last 9 months Correction suggesting Strong Rally"
2- On 06-12-2015: "7715 Will decide the Life of on going Correction"
Importance of 7715 has already been updated with Neckline(7722) of 56 sessions Head and Shoulders pattern and both the levels were broken down but last 7 sessions closing above it therefore validity of this pattern in question now.
As whole 9 months correction from 9119.20 to 7539.50 in Falling channel with Bullish Flag formations and this pattern formation will remain valid up to near about 7119 therefore until Nifty will not slip below the Falling trend line of Flag till then expectations of fresh Rally above life time high(9119.20) will remain alive.
Wave-C is on with recent bottom at 7539.50 on 08-09-2015 and now Pull back rally continuation after its Sub Wave-5 completion at 7551.05 on 14-12-2015. Although Pull back rally beginning after higher bottom formation at 7551.05 on 14-12-2015 but no confirmation of on going Long term correction completion yet therefore firstly sustaining above following resistances should be watched in next week for first strong indication of on going correction completion:-
1- 7877-7897
2- 7917-7934
3- 7953-7968
As Long Term Trend decider 200-Day EMA is today at 8074 therefore finally sustaining above it will be confirmation of on going correction completion and let it happen otherwise on going Pull Back Rally will be understood for its continuation towards above mentioned resistances.
Crucial Levels for next Trend Confirmations
Last 6 sessions trading between 7734-7888 with higher levels selling and lower levels supports therefore expected that Nifty will firstly trade within and near about this range in next week and will prepare for next decisive moves beyond it and finally valid break out of this range will decide the fate of on going Pull Back rally. As last 2 sessions most time trading within 30 points between 7841-7871 and valid break out of this range will be next decisive moves first strong indication therefore should be firstly watched in the beginning of next week.
