- A possible pattern formation on DI.
- The possibility suggests lower DI in coming weeks.
- For that we need a clear BD from the B-D TL shown on the chart.
- If we do get a break then the first target is in the vicinity of 78 odd levels, and below that we should find support around 76 odd levels.
- But the break of the B-D TL is essential.
- The only hitch is the current down leg has already taken more time than preceeding up leg, a sign of market with an upward bias.
Tuesday, August 27, 2013
Wednesday, August 14, 2013
- This Nifty chart clearly shows that we have found support at the earlier support zone, now tested 4 times.
- We also have a resistance zone brewing around 6090 - 6135 range.
- If this rally is for good, we can test this resistance zone, in coming weeks.
- The start certainly looks convincing.
- If we do rally to this resistance zone, it will interesting to see what Nifty does there, a breakout above the last high of 6229.45 (which "investors" are hoping for), we may see much higher levels, in the vicinity of 6500 - 7000 (but this is just a conjecture at this point, we need much confirmation before any of this becomes a possibility).
- Right now I would be betting on the levels of 6090 - 6135 being reached before we make a new low or break the support zone.
- But markets are known to do there own thing, and I know that a SL will protect my capital!
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