August 14, 2012

APPLE Negative divergence

  • APPLE Hour chart shows negative divergence with MACD histogram
  • Weakness only if price trades below the hourly up trend line and 50 Hour SMA.
  • Breakdown possible only if price starts to trade below the hourly cloud.

GOOGLE Chart update

  • GOOGLE Weekly chart with bollinger band shows price testing the upper bollinger band. Bears of google need a bearish candle at this level.
  • 2nd chart shows a possible resistance line which could act as resistance.

ES Chart update

  • ES Hour chart shows a range breakout.
  • Price falling back below 50 Hour SMA shall result in a failed breakout.
  • If the breakout sustains price may target the red resistance line as shown in the last chart.
  • A failed pattern may result in a fast fall in  favor of bears.

BANK NIFTY Chart analysis

  • There is a triangle pattern in the daily chart and 20 SMA in the middle of the triangle pattern.
  • 50 Day SMA and the triangle support line are crucial supports for BN.
  • Price is getting support at 50 Day SMA. Sustaining above 20 SMA should take BN towards the upper resistance line of the triangle pattern.

DLF Resistance levels

  • DLF Bulls will gain momentum on trading above the resistance line and 220 levels as shown in last chart. A weekly close above the cloud would also help the stock to move towards 232 which is the 100 Week SMA. Price is likely to get resisted at 100 Week SMA.
  • For a bigger up move in this stock price must trade above 100 Week SMA. Unable to cross above 220 levels will be negative in the very short term.

SPY in a rectangle

  • SPY in a bullish rectangle.
  • Bullish only if price is able to sustain above 50 Hour sma.
  • Falling below 50 Hour sma could give a fall towards 139.80 and a possible range breakdown.