- SPX Four hour chart has given a breakout above the resistance line.
- Indicators are showing overbought levels.
- But as shown in the second chart overbought reading can go both ways.
- In a strong market indicators will stay overbought as price keeps moving up.
- Yesterday SPX broke its 50 day moving average. As long as price stays above this crucial moving average Bulls are safe.
- S&P 500 CLOSES ABOVE 50 DMA
- ES Hour chart is trending up in favor of bulls.
- Trend line will act as support in case of a correction along with 1296 level which acted as support in hour chart.
- 200 and 50 Hour moving averages too is showing a bullish alignment.
- Weakness will be seen if Price starts to trade below 50 hour moving average.
- SPX Closes above 50 DMA.Four hour chart hits the resistance line: CLICK HERE
CHART-II
- Nifty Futures hits the channel top.
- Confirmation of a break from this pattern can be confirmed only when spot nifty reaches 200 DMA. We shall see how nifty spot behaves near its 200 DMA.
CHART-I
- Nifty futures 4 hour chart with price moving towards the top of the channel.
- If today's GAP does not fill then bulls will have an easy path towards 5640 - 5650 level.
- Nifty SPOT 5 minutes chart with the staircase pattern. Typical bull market move were consolidations result in an upper breakout.
- The trend in shorter time frame is intact for bulls. Only negative is today's GAP which may get filled at some point today or next week. It's the price action that follows the GAP filling that we have to watch for.
- Break of the trend line will be negative for the bulls.
- Bank nifty has given a break above the trend line in daily chart.
- But may face resistance from its 200 DMA.
- On closing basis 11150 level too seems to be a strong resistance to break.
- Break and close above 11150 will keep the bullishness intact.
- S&P 500 CLOSES ABOVE 50 DMA
- SPX has closed the day above 50 day moving average.
- Price in Four hour chart has hit a resistance line.
- More upsides are possible once the resistance line gets broken.
