Nifty and Indian stocks

[devadas]

DISCLAIMER: These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequences resulting out of acting on them.Trading in Stocks/Commodities/Futures Carry Risk.


CNX NIFTY (5,945.70 ) +82.40 +1.41 %

Nifty has been zooming since the last 4 trading sessions.The oscillator chart, which is below the Price chart had been holding me back from giving a sell call for the last 6-7 days or so.Even now the Oscillator is pointing up and has some space left to go if it wants to.Also on Friday, the market jumped above the Pink trendline with a gap.On the flip side the market has retraced 61.8 % of the fall i.e at 5940.As I had already mentioned that a move above 5971 negates the bearish Shoulder head shoulder pattern.

 

[devadas]

Re: Nifty

DISCLAIMER: These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequences resulting out of acting on them.Trading in Stocks/Commodities/Futures Carry Risk.


CNX NIFTY (5,942.35) -3.35 -0.06 %

Nifty has touched 5971, but still not closed above it.It has formed a shootting star pattern .The result of this pattern is a pause ie form spinning tops ( small bodied patterns) for next 3-4 days and resumption of trend or a red bear candle tomorrow itself.Overall a Pause. Also the market recovered sharply in V pattern.A close above 5971 negates bearishness.

NIFTY HOURLY

In the hourly charts there is negative divergence on the oscillators.In few cases a triple divergence does occur.So I am expecting market to touch atleast 5910 or lower provided a triple divergence does not occur .So play with a Strict stop above tomorrows first hour high or todays high whichever is higher incase the hourly charts show weakness .

 

[devadas]

DISCLAIMER: These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequences resulting out of acting on them.Trading in Stocks/Commodities/Futures Carry Risk.

CNX NIFTY 5,914.10 -28.25 -0.48 %

Nifty as predicted made a Red Bearish Candle and so yesterdays candle turned out to be a Shooting star / evening star pattern.Also the negative divergence on the hourly charts forced NIfty to go below 5910, the level which I had mentioned yesterday ( read yesterdays post).What next ? If markets continue to fall without closing above 5971, then the Shoulder Head Shoulder pattern is respected and we may see lower prices.

But if prices close above 5971 with volumes, then we may see an Inverted Shoulder Head Shoulder pattern which may reverse the earlier bearish pattern and the Target will be 6270 approx. Right now this is an alternative view only, to be kept at the back of the mind.This will trigger only on a close above 5971 with volumes or 3 consecutive day closes.

NIFTY HOURLY

 

[a1b1trader]

Thanks DD
You confirmed the analysis that I made in the following post of this Sunday night.
http://www.traderji.com/derivatives/74641-nifty-open-interest-analysis-15.html post#143

My view is

1. Though on the verge of negation, H&S pattern is not yet negated, as Nifty has yet to cross 5971, the second shoulder high.

2. There is a formation (in progress) of an IH&S (from mid Feb). Though left shoulder and head has already formed but not the second shoulder. So there could be a correction to form right shoulder. And if Nifty moves upwards after the correction then it can move much higher than 6100 levels (Because of IH&S)

3. If we look at daily chart in a longer time frame, from December 2012 onward, then there is a formation (in progress) of an H&S. And in this case also, left shoulder and head has already formed but not the right shoulder. And for the formation of right shoulder Nifty should remain below 6100 levels. And if there is a deep correction before 6100 levels then it may indicate the completion of this H&S pattern and we may find Nifty at much lower levels.

So until 6100, it may be difficult to decide the future movement of Nifty. Let us wait and watch what is there in future.

 

[devadas]

Thanks DD
You confirmed the analysis that I made in the following post of this Sunday night.
http://www.traderji.com/derivatives/74641-nifty-open-interest-analysis-15.html post#143

Good Observation:thumb:

 

[devadas]

DISCLAIMER: These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequences resulting out of acting on them.Trading in Stocks/Commodities/Futures Carry Risk


CNX NIFTY (5,851.20) -62.90 -1.06 %

Nifty fell and is on expected lines.Only a close above 5971 will trigger the other pattern which I showed yesterday.Till then the Bearish Shoulder Head Shoulder pattern will hold sway.

 

[devadas]

DISCLAIMER: These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequences resulting out of acting on them.Trading in Stocks/Commodities/Futures Carry Risk.

CNX NIFTY (5,908.95) + 57.75 + 0.99 %

NIFTY as mentioned is oscillating between the bearish and bullish Shoulder Head Shoulder pattern. Look for NIFTY to break and close above 5971 to be bullish.A move below 5663 is bearish.

NIFTY DAILY

NIFTY WEEKLY

NIFTY on weekly chart is showing ( Ignore the last red candle – that is for the current week) a Bullish engulfing pattern .Though this is not a perfect Engulfing pattern, it has stalled the downmove. Any move below 5663 is bearish.

 

[devadas]

DISCLAIMER: These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequences resulting out of acting on them.Trading in Stocks/Commodities/Futures Carry Risk.

CNX NIFTY (5,872.60) -36.35 -0.62 %

Nifty is meandering around the necklines namely 5971 ( Inverted shoulder head shoulder – Bullish) and 5868 ( Bearish Shoulder head shoulder patterns) on the daily charts.A move above 5971 or below 5791 will decide the future trend. Look at the beauty of the top and bottom namely 5971 and 5791 —– only the middle numerals ( 7 and 9) are changed.

WEEKLY NIFTY

Weekly Nifty is also making a Bearish Shoulder Head Shoulder pattern.The shortcoming here is that the bottom of expected right shoulder (Point No 2 ) is above the bottom of Left shoulder ( Point No 1 ).The right shoulder if formed properly and if neckline is broken i.e 5663, then there will be bearishness.Otherwise expect Nifty to touch 6111.Let us see how it spans.

 

[avamorcle]

Sell nifty futre below 5785 target 5770, 5755, 5740 stoploss 5815
sell adani future below 231 targets 228.5 , 226 , 223 stoploss 236

 

[devadas]

DISCLAIMER: These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequences resulting out of acting on them.Trading in Stocks/Commodities/Futures Carry Risk.

CNX NIFTY (5,745.95) -89.30 -1.53 %

NIFTY has confirmed the bearish shoulder head shoulder pattern on Daily charts and a close on a Weekly basis below 5663 will be very bearish for Weeks / months to come. If today's fall was based solely on news, then expect sharp pullback tomorrow.But till market closes above 5971, it is not bullish.