Stock Market Chart Analysis

April 1, 2011

Daily chart shows a confluence of resistance with price about to face a trend line and 61.8% Fib level around the same area. So this are need to be cleared convincingly by the bulls to continue the upward momentum. Getting stuck here may result in a meaningful correction.
Weekly chart too shows price near a resistance line which has stopped price from moving up earlier. Price has to clear this line on a closing basis for keeping the bullishness intact.
ASCENDING TRIANGLE OF CRUDE OIL

Crude Oil Four hour chart shows an ascending triangle type of consolidation. This is a bullish consolidation formation.
Break and close above 107 may target 115 levels.
If support line gets broken Crude oil will be bearish in the short term.

ES Four hour chart is showing a gravestone Doji Candlestick pattern.
This is a bearish reversal pattern. Price has not able to go above the shadow of this candle yet.
But one good thing for the bulls is that the breakout happened yesterday is still valid.
Levels which should be broken by the bears are 1317 and 1313.

Nifty's previous support band was between 5754 - 5766 level.
On closing basis if nifty sustains above this band trend will continue to favor bulls.
Price slipping below this level may lead to some weakness.

Nifty Fibonacci chart shows price crossing 50% level. If week closes above this level we may see nifty moving towards the Golden ratio at 5894. Having said that one has to take a look at the second chart. Nifty during the fall shown on the second chart has made a consolidation during the middle of the fall. But the bulls are yet to consolidate they are doing a faster retrace of the fall. But i am expecting a consolidation to happen soon.