Charts for the Day

[anilnegi]

thanks but i think this is not acceptable as per forum rules, pls remove at the earliest, senior may clarify

anil negi

 

[anil_s_trivedi]

Sail a PSU in Metal sector. In downtrend, and caution here, as we are trying to pick a bottom here. Momentum divergence only favouring a trade here, alongwith 3month falling wedge pattern.

Trade with stoploss.

 

[nitingosavi]

anil sir, is this breaking trend line/channel and retesting?
I am learning and trying to understand price action.... so questions...

plz I dont want to disturb this thread... how to remove the post i really dont know.

 

[anil_s_trivedi]

anil sir, is this breaking trend line/channel and retesting?
I am learning and trying to understand price action.... so questions...

plz I dont want to disturb this thread... how to remove the post i really dont know.

Dear nitinji,

Yes its a valid case of breakout and retesting. The support turned into resistance now.
So ideal downside Tgt should be width of channel. But you should not carry away with it.

Remember patterns like channels, and others like H&S, wedges, falgs..etc..etc.. should be taken with risk under consideration. As price action develops, newer evidence get in and what earlier seems to be breakdown, is nothing but a whipsaw or rather trap for the bears.

Similarly, here if price sustains above yesterday high, its a sign of strength only. I see weakness below 3400 levels.

Resistance : 3565
Support: 3430 / 3400 / 3350

 

[anil_s_trivedi]

Tech Mahindra after having relentless run showing some sign of intermediate distribution. Stock formed a H&S top and got a broken neckline and retesting going on.

Possible lower tgts will be 490-500 zone. For any sign of strength watch neck line, if sustains good. Levels to watch are 630 / 645-650 / 700.

 

[anil_s_trivedi]

Reference: Technical analysis & stock market Profits - Richard Schabacker

 

[nitingosavi]

Anil sir,
cradle... A res line and a sup line? as shown in both charts in your posts.
or.. some times two sup lines with diff slope cross each other in a uptrend same probability in downtrend .. same rule?

 

[anil_s_trivedi]

Anil sir,
cradle... A res line and a sup line? as shown in both charts in your posts.
or.. some times two sup lines with diff slope cross each other in a uptrend same probability in downtrend .. same rule?

Dear nitinji,

In uptrend, as shown in pic it act as a support line and in downtrend it act as a resistance line.

The point to remember, is confluence on trendlines out of which one is resistance and other is support one, the point will always act as tough to clear.

 

[anil_s_trivedi]

S&P500 is on a secular bull market. The recent greece turmoil resulted in it correcting 4.25% roughly. With any correction the talks of big fall starts and everyone start projecting his levels.

We as a analyst focus on what is there. Not what we think. Looking at monthly chart, the long term trendline threat coming below 2010 zone. So first sign of weakness on monthly will creep in there.

Weekly support line and confluence also coming around at 2000-10 zone. On daily the channel support broken and its probable target coming in around 2010 levels.

So consider this 2010 levels as a crucial zone coming in.

Support: 2035 another probable bounce area if fall is deceiving one.
Resistance: 2095 / 2115-2120

Only above 2120 i will think of making newer highs, till then sell on rallies, looking at price action.

On momentum front, huge negative divergence setting in, but price need to break key levels to confirm more downside. Short and intermediate momentum already down and long term falling, so any rise getting arrested.

Will look closely in coming days, watch levels marked as of now.

 

[anil_s_trivedi]

Silver showing some sign of accumulation as supply zones on daily charts are slowly overcoming. Watch trendlines S/R so that near term Tgt zones can be seen.

Reason for silver coverage is, weekly momentum oscillators are coming up from deep slumber, this indicates buying interest coming in.

In our prior analysis, we anticipated accumulation going on, and stock even broke resistance of symmetrical triangle on upside, followed by testing of previous supply zone of 40500 and reacted strongly on 19th may with big bearish bar engulfing previous three candles, that was a sufficient sign of weakness to expect testing of previous support zones of 35000-34000. But stock even breached those zone on downside, and we are now at november bottom of 33490.

Also watch our earlier weak below level of 37400 also breached violently, and then retested (Shown by down arrow) to show, importance on level marked.

So our prior theory of accumulation dont hold as of now and we are now going lower. How much is the question. From monthly charts, the zone of 28600-29600 stands as s good support zone. Need to watch price action there.