July 14, 2011

SPY Support and Resistance levels

  • SPY is trading in a range.
  • Price for now is in the negative side of the range.
  • Trading above 133.18 level may favor bulls. Breaking below 131.36 will favor bears for a correction.
  • 2nd chart shows price trading below the 50 Hour moving average.
  • If price continue to trade without breaking  50 Hour moving average on the upside then a breakdown below 131.36 and a correction is likely to happen.

S&P 500 Futures Consolidation pattern

  • ES has broken down from the consolidation pattern.
  • Price staying below 1302 will target 1295. Below 1295 things will become bad for bulls.
  • ES Hour chart is in a consolidation pattern.
  • Price is moving towards the apex of that consolidation pattern.
  • Any breakout should takeout levels like 1328 on the upside or 1302 and 1295 on the downside.

NIFTY consolidation pattern

  • It looks like a busted pattern now.
  • Price if breaks the support line of the wedge can extend profits for bears.
  • Price breakout in favor of bulls. Next level to watch out is 5650. Day closing above this level will give more momentum for bulls. Then they may try one more time to break 200 DMA.
  • For bears they should expect a busted pattern. Price falling back into the pattern can give good profits for bears.
  • Nifty 15 minutes chart is showing a wedge like formation. 
  • It is shown with 15 Minutes time frame.
  • Price near the top of the resistance line has given a bearish pattern after many bullish candles.
  • If today's high is not taken out we may see price pulling back to the support line. 
  • In case a breakout or breakdown happens we will get good direction out of this pattern.

NIFTY Daily Analysis

  • Last chart shows price testing the 20 week moving average. In the recent past whenever price closed below this moving average it has been a struggle for nifty bulls. So for the bulls price has to close the week above 20 week moving average.
  • MACD may trigger a sell if the resistance levels are not crossed convincingly.
  • Last chart shows price stuck in between 50 and 200 Day Moving average. So this range should also be resolved for bigger movements to happen.

GOLD Range breakout and monthly resistance line

  • Gold line chart is shown with a range breakout.
  • Target for the current breakout is near 1367 level.
  • But price is hitting a resistance line in monthly time frame. 
  • Price to move up higher this resistance line has to be broken.