July 23, 2016

CRUDE Oil weekend update

  • Month chart shows a bearish formation taking place provided the current month candle closes at the current levels or lower. Bearish month candle would confirm a bearish Evening star like formation which can extend the fall in crude oil.
  • The correction may be forming a right should of an Inverted head and shoulders pattern in weekly time frame. If the correction is limited 37 and 38 levels a Bullish pattern is possible in weekly chart.
  • Daily has fallen below 100 SMA, If price sustains below this line quicker falls are likely. Bulls need to get back above this moving average to negate the bearish views.

Apple weekend update

  • Apple daily could not close above 100 SMA. Weekly candle looks bearish. Negative price action in daily chart likely to move towards 20 SMA before results.

Nifty Weekend update

  • Nifty continues to remain in a range. Bearish engulfing spotted yesterday morning lost its significance by the end of the day. This happens when price is in a range. For a directional trade its better to wait for the range to get resolved. 
  • MACD Divergence has given shallow corrections as shown in chart 2. So if that trend is to continue price should give a bearish move out of this range. But one should also consider the larger trend before taking a bearish position.

Crude oil chart update

  • Crude oil daily chart shows price violating 100 SMA again. Crude bears need a daily close below 100 SMA For bigger falls to follow.
  • 4 Hour chart shows a possible support line. If that is not held quicker falls are likely to be seen. If price bounces then crude bears may not get that daily close below 100 SMA.