November 23, 2010

  • Current up move in gold may hit 1387.
  • Gold may find resistance around 1387. Breaking out above 1387 will target the recent high made in gold which is 1424.
  • EURUSD daily chart with Trend line support.
  • Correction for this index may find support on the trend line in daily chart.
  • Important support for the pair is around 1.32 level
  • Larger correction from here will be possible only if the trend line gets violated.
BROADENING TOP FOR THE BEARS
FALLING WEDGE FOR THE BULLS
  • First chart is a the bearish broadening pattern shown in 30 minutes chart of ES.
  • A falling wedge is also in the making in ES which is a bullish reversal pattern.
  • Main support on closing basis for ES is 1173. If 1173 holds this week Price will move higher above 1200.
  • Breaking 1173 will be negative and price will slip below 1150.
  • S&P 500 BEFORE OPENING BELL
  • Dow Jones Futures is trading between 11050 - 11070 which is an important support zone for this index.
  • Price may start going up again from this zone.
  • Breaking this level will take index to 11010 level initially. 
  • ES four hour chart with support and resistance lines.
  • Price has violated an important trend line in four hour chart.
  • Price staying below the trend line will be negative and can drag the index to the next supports levels which are at 1180 , 1176 initially.
  • Price getting back above the trend line may stop a sell off for now.
  • DOW JONES ANALYSIS AFTER CLOSING BELL
5 MINUTES CHART
HOUR CHART
  • First chart shows the V shaped recovery in 5 minutes time frame.
  • Price is yet to fill the morning GAP. and nifty went down more than 100 points, Recovered more than 100 points and it is about to fill the Morning GAP. May find resistance in this area for some time before it goes above 5963.
  • Price is trading below its 50 Hour moving average as shown in the hour chart. The up trend will resume if price closes above 50 hour moving average.
CHART-II
  • Small GAP between 5986 - 5903 is faded.
  • Head and shoulders is showing its effects. Target is about 60 points from 5934 area
CHART-I
  • Index should trade above 5934 for favouring bulls. If it trades above 5934 that means trading above the head and shoulders neckline which was broken.
  • There is a small GAP between 5903 - 5986. This GAP is giving support for now. But this may get filled and if price trades below 5986 it will target the recent low of nifty futures. So only if NF trades above 5934 we will see some strength coming back
CHART-II
  • Rang breakdown below 5934 favouring bear.
  • Bears can increase the momentum only if they break 5900 - 5910
CHART-I
  • Nifty Futures 5 minutes chart with a range of 5934 - 5963.
  • An unfilled GAP exist in chart. Break above 5963 will fade the GAP.
  • Breaking the low at 5934 will be negative for the bulls.
  • Nifty has taken support at the broadening patterns support line Which was shown yesterday.
  • second chart shows the fibonacci levels to which this up move can go.
  • Price has closed above the 5 day low ema. But yet to cross the 50 Day moving average. 50 DMA is near 38.2% Fib level so this place may act as a resistance zone. Breaking above this will be positive.
  • DOW JONES ANALYSIS AFTER CLOSING BELL
  • Price could not able to cross the 20 DMA despite a strong comeback.
  • Two hammer candles in a row showing good buying support at lower levels.
  • Bulls should cross 50% Fib level and 20 DMA for making progress.

Disclaimer

All the contents of niftychartsandpatterns are for educational purposes only and are not Investment Advice or recommendations offered to any person(s) with respect to the purchase or sale of the stocks / futures. Niftychartsandpatterns shall not be held responsible for the actions of individuals, parties, or corporations taken in response to the ideas, thoughts, concepts or information presented in this blog. Hence all the visitors are requested to apply their prudence and consult their financial or investment adviser before acting on any of the Ideas in this blog.

Followers

Blog Archive

Powered by Blogger.

My Favourite Quote

"All through time, people have basically acted and reacted the same way in the market as a result of: greed, fear, ignorance, and hope. That is why the numerical formations and patterns recur on a constant basis."
—Jesse Livermore