September 30, 2011

ES Hour in a channel

  • Up move did not last long as the trend in higher time frames are down. Price got resisted and closed near the bottom of the channel.
  • Hour is moving up from oversold levels.
  • Price is moving towards the resistance line of the channel
  • for bears price should stop at the resistance line. Breaking above the resistance line may extend this up move.

SPY Analysis

  • Price not able to close above 20 Day Moving average.
  • Price falling below 114 will increase the risk of a breakdown for bulls.
  • 110.27 is the final support before the big fall. Price taking support and closing the day above 20 Day sma may give hope for bulls.
  • Indicators like MACD and Stochastic are in neutral territory because of the range. 

NIFTY Analysis

  • Nifty is in the middle of the range with both bullish and bearish possibilities.
  • Price closing above 50 Day Moving average will favor bulls.
  • Falling below 4900 will be negative for bulls.
  • Bullish engulfing and closing above 5 day high ema Needs follow up buying as nifty is in the middle of the range.

APPLE Hits 50 Day Moving average

  • AAPL Hits 50 day moving average.
  • For bears breakdown may happen below the trend line. 
  • If price does not violate 50 SMA we may see a bounce in favor of bulls.