S&P 500 Trading in a range

• S&P 500 hour chart is trading in a range of 14 points. 1091 - 1105.
• Right now it is trading close to the upper end of the trading range.
• Index may pause around 1105 region and may be followed by a correction. Indicators are also in the overbought zone in hour chart.
• If 1105 is broken convincingly we can see a rally of 10 points.

S&P 500 futures before opening bell

• S&P 500 futures went down till 1086 after breaking the support line.
• 1085 area has given support for the index.
• An hourly close above the trend line shown in the chart will be positive for the index.
• The above chart is a continuation of the hourly analysis shown in this POST.

Broadening pattern of Nifty

CHART - III

• NF Got resisted near the top of the pattern is now moving towards the support line.

CHART-II

• Nifty futures is getting close to the resistance line of the broadening pattern

CHART - I

• Again its one of those broadening patterns this one in 15 minutes chart.
• Remember we have one going in the daily chart which was posted today.
• Violation of support or resistance lines can give good direction for the short term.

NIFTY daily chart analysis

NIFTY DAILY CHART

NIFTY WEEK CHART

• Nifty daily chart is looking positive with the index closing above the broadening pattern. Now the index should trade above 5600 for the bullishness to continue.
• Any dip below 5600 will be negative.
• Nifty's weekly line chart is showing a breakout above the resistance line.
• This week should close above 5550 for the breakout to sustain on closing basis. If nifty comes back and closes below 5550 we may not have a breakout on weekly closing basis.
• The worst scenario for bulls would be a whipsaw in weekly chart which can have catastrophic results like what we had back in 2008.

S&P 500 Analysis after closing bell

• S&P 500 has closed the day below the crucial 61.8% Fib level.
• But the index is still trading above 20 and 50 DMA. This should keep the bulls interested.
• 50 DMA is at 1082 if this level break the correction can be big.
• The daily chart also has a negative sma cross, 20 DMA is below 50 DMA. 
• Today bears had an upper hand but i still feel that both trades are possible from here. clarity should emerge soon.

S&P 500 futures in a channel

CHART - III

CHART - II

• S&P 500 futures hour chart has violated the support line.
• But it is not falling as expected. 1085 - 1088 region is crucial for bulls and bears.
• If 1085 breaks we can see good correction

CHART - I

• S&P 500 futures hour chart is trading in a down trending channel.
• It is close to a breakout point. The index can give good direction soon. 
• Break of the support line will favour bears.
• Hourly stochastic is showing some positive divergence. But it seems there will be another down move before the positive divergence in hour chart shows its effect.
• Wait for a clear direction before taking a trade.

FLAG of S&P 500

RANGE IN 10 MINUTES CHART

• There is a bear flag developing in S&P 500's 10 minutes chart.
• But the indicators in bigger time frame like hour is in oversold territory which can give a small bounce from here.
• We can get a clear direction if the range of 1092.85 - 1097 in 10 minutes gets broken.