May 19, 2011

NIFTY Triangle and Falling wedge

CHART-II
  • Falling wedge discussed earlier seems to be giving gains for Bulls. 
  • Resistance levels are strong from 5500 - 5530. 
  • Closing above this level will favor the bulls.
  • Falling below 5450 will favor bears again.
CHART-I
  • Nifty's Falling wedge in hour chart shown yesterday is still valid. Price has not gone below the wedge.
  • Price is making a triangle shaped consolidation in hour chart.
  • So breaking above or below the support lines of the triangle may give the next direction for nifty.
  • LARSEN & TUBRO CHART ANALYSIS
By at

10 comments:

  1. DKGMay 19, 2011 at 6:08 PM

    Hi SAN,

    What you are targeting till expiry on nifty?

    ReplyDelete
  2. Ram CharanMay 19, 2011 at 6:09 PM

    Hi San,

    As per trendlines in the triangle nifty has made 2 tops and 2 bottoms and if we open higher and touch the trendline and come down, then i guess we can breakdown because in a triangle we form, a-b-c-d-e or 1-2-3-4-5 waves right?

    ReplyDelete
  3. DKGMay 19, 2011 at 6:09 PM

    Is this like a bearish flag from 5600 on hourly chart?

    ReplyDelete
  4. SanMay 19, 2011 at 6:18 PM

    @Ram Charan
    Since the falling wedge is not giving proper result for bulls. Breakdown is possible So what you are saying may be correct.

    But if the upper trend line is taken out then things may favor bulls for 5500 levels.

    ReplyDelete
  5. SanMay 19, 2011 at 6:20 PM

    @Dinesh K
    Consolidation after a down move is generally form bearish continuation pattern.

    Lets see how this one goes.

    Range for expiry is between 5350 - 5600

    ReplyDelete
  6. DKGMay 19, 2011 at 6:43 PM

    SAN sent u a mail, please reply.

    ReplyDelete
  7. ramanMay 19, 2011 at 10:48 PM

    @SAN,

    EWC labelling for today...
    http://postimage.org/image/1az754jo/

    EARLIER daily EWC, NEGLECT downside count shown @ link... http://postimage.org/image/2cwwy7n8k/
    ********************************************

    For any ellitician answer is 1 either UP/DOWN.
    Instead of 50-50. My wave count suggests UP move upto 5600-5650 besides PCR pointing downwards.

    My alternate wave count says that there is no TRIANGLE formation in this area. But i do hope that ur EWC is correct.

    ReplyDelete
  8. ramanMay 20, 2011 at 10:49 AM

    So there r some wedges left or the structure is complete? I do respect views of other elliticians i.e. why booked profit after opening.

    Its a third wave here but i m watching a fifth wave extension type move & i don't know how to trade nifty & spot but 5600 acts like a trap.

    Rest, if market take 2 days to slip frm 5500 then it may not take 2 days to close above 5500.

    ReplyDelete
  9. ramanMay 20, 2011 at 10:49 AM

    This comment has been removed by the author.

    ReplyDelete
  10. ramanMay 20, 2011 at 11:01 AM

    WEDGES N TRIANGLES occur @ wave 4 in direction of trend so wave 5 must completed @ same trend i.e. downward & not upward in this case.

    ReplyDelete

Subscribe to: Post Comments (Atom)