August 16, 2012

CRUDE Oil Update

  • Crude oil triangle shown in a Previous Post has given a breakout in favor of crude oil bulls.
  • Price is violating weekly cloud which is good for bulls of CL. Now bulls need a weekly close above the cloud.
  • Another crucial level which Crude oil bulls must cross is the 200 Hour SMA. Failing which we might see a correction in favor of Crude oil bears.

ES Chart analysis

  • ES Bears unable to break below 200 Hour SMA has resulted in an up move towards channel resistance line.
  • Bears might get a shorting opportunity at this level. Price closing above channel resistance line may cross the recent high's.

ES Chart update

  • ES Has not changed much since the last update.
  • for bears the negative divergence is still there. Price need to fall below 50 period SMA and the channel for a bigger fall to happen.
  • If time goes by without a fall then the bearishness of this divergence will vanish.

CISCO Chart analysis

  • GAP Up opening above 18.48 and closing above it will give an island reversal for CISCO.
  • Price closing above 200 SMA and daily cloud will help bulls to extnd this up move.
  • Possible resistance above these levels is the Golden ratio.

SINA Chart analysis

  • SINA Weekly chart shows resistance at 20 Week SMA OR Middle Bollinger band
  • Daily chart too shows price testing Ichimoku cloud. So for bulls of SINA these two levels has to be broken on the upside on closing basis for a bigger move to happen.
  • Getting resisted at these levels and falling below 50 Day SMA on closing basis will be negative for Sina Bulls.

NIFTY Chart analysis


  • Month chart moving above 5 Month High EMA should keep the bulls interested. Bulls are also trying to sustain above the weekly resistance line.
  • Cup and Handle pattern too is looking positive for bulls But there is no volume spike in daily chart which is not good for bullish moves. One has to confirm with a weekly close.
  • Possible resistance at upper bollinger band which is near 5460 levels.

ES Chart update

  • ES continue to show negative divergence without any major correction.
  • Price continue to move inside the channel.
  • ES took support near channel support line and 50 period SMA. This level has to break for a fall to happen.

JP Morgan Chase chart analysis

  • JPM Testing 100 Day SMA and the GAP level.
  • Breaking above 100 SMA and 37.98 level may fill the gap.
  • rising support line and 50 SMA are crucial support levels.