October 29, 2010

Nifty Daily Analysis

  • First chart shows a negative candle at the top of the range and after that there was not a single day which closed above 5 day high EMA. Most of the action shifted to 5 day low ema giving chance to sell on rise.
  • Next chart shows price closing below 20 DMA. Shortly if this down move is not stopped price will have an encounter with 50 DMA.
  • The best trades are done when two or more set ups come together. Look towards the left side corner of the chart A HAMMER ON THE 50 DMA which is an easy long to take with a small stop loss.
  • We had a similar set up in nifty futures intraday chart. A Trend  line and the 50 hour moving average came together to pull the index down.
    • CLICK HERE FOR NIFTY FUTURES CHART
By at

5 comments:

  1. wormwood34October 29, 2010 at 9:29 AM

    hi san...

    do u see any h&s formation in nf..

    ReplyDelete
  2. SanOctober 29, 2010 at 10:41 AM

    @wormwood
    i saw one but the neck line was not in correct place so i decided to skip

    ReplyDelete
  3. wormwood34October 29, 2010 at 10:47 AM

    san thanks for the reply..

    in the nifty eod u gave the top has formed...do u see any chances of upmove in the next two weeks approx..for that what has the downside to be..

    pls oblige my query..

    johnson

    ReplyDelete
  4. SanOctober 29, 2010 at 10:52 AM

    Johnson

    If nifty futures does not break 5937 it can move up sharply. The top has formed but the base is not broken yet. I will update the targets as things unfold.

    Thank you

    ReplyDelete
  5. wormwood34October 29, 2010 at 11:49 AM

    thanks san for the patient reply..

    ReplyDelete

Subscribe to: Post Comments (Atom)