June 13, 2013

SPY Bullish Engulfing

  • SPY Four hour cloud saving bulls for now from a bigger fall.
  • Four hour candle shows a bullish engulfing pattern. This one needs price follow up to confirm bullishness.
  • One  Hour chart testing 50 Hour SMA. Sustaining above this level will extend this up move.

ES Chart analysis

  • ES Four hour chart shows price moving into resistance level.
  • Price has to sustain above these levels for a bigger pullback to happen.

NIFTY Shooting Star and support levels

  • Price near 200 Day SMA.
  • Nifty also testing Golden ratio.
  • Month chart shows price near Month Low EMA. If month low give support a turnaround is possible. One should also see the monthly chart for the perfect shooting star candlestick which is bearish and may give a bigger fall.on trading below month low EMA.
  • Since the shooting star shown here is a monthly pattern It need a monthly close below 5 low EMA to confirm bearishness or strength of the shooting star or Inverted hammer.

ES Chart update

  • ES Falling down in a channel as shown in four hour time frame.
  • Daily is testing 50 Day SMA. 
  • 4 hour chart shows resistance at the cloud. For a bigger pullback price must break back above the cloud.