LET THE MARKET TELL WHO WE ARE

In this video we have explained what NIFTY is likely to do in next few sessions. 

#NIFTY #INDEX currently trading at 13438, down by 90 from previous close. Today index has opened gap down and taken out the low placed yesterday at 13449 triggering primary weakness in market for the day. Immediate support is now placed at 13390, retest to this level can’t be ruled out but stability below 13390 will result in to further weakness and then attempt towards 13350-13310 zones can’t be ruled out. Key support will be at 13300 and further stability below that level will bring more weakness. Resistance is now placed at day high which stands at 13488, any sustained move (Less likely) above that level will bring some relief to bulls and then attempt towards 13540-13590 can be seen.  On #option_chain heavy #call_writing is being done at 13500-13600 strikes where as short covering is visible in 13450 and 13500 puts whereas longs build up seen in 13400 puts with high volume. Based on current #OI position level of #option_pain stands at 13400 thus based on current data at 10:52AM...

Sometimes, in unfavorable circumstances it becomes bit difficult to take a directional view on entire market or on a particular asset. But in financial markets we have seamless opportunities even at the times when your systems are not able to take a directional view on an asset or when fundamental and technical are not streamlined. Ratio trading is one of those opportunities. In past we suggested a ratio trade in gold and silver while gold silver ratio was at 120 and today this ratio stands at 76. Means people who traded this opportunity could bought 120 kg of silver by selling 1kg gold and now they can buy 1kg of gold just by selling 77 kg silver means this opportunity has earned you 43kg silver. Today again I am back with my analysis on BANK NIFTY and NIFTY ratio. Current Bank nifty- Nifty ratio stands at 1.94. Areas of 1.90 has served as good support for this ratio since 2012. However, this ratio has hit 1.62 during 2013 but was not able to spend much time in that territory and ...

#NIFTY index settled at 9859.90 up by 306.55 points on Thursday. It was a trading holiday in India on Friday but #SGX_NIFTY witnessed good decline on Friday that will cause a gap down opening in domestic markets today. On Friday nifty successfully tested its 50 days SMA that stands near 9836. Now areas of 9800 will remain crucial to watch out in next few days. If market consistently holds above 9840 zones then we will see this index retesting areas of 10100-10700 zones. A death cross between 50 and 200 days SMA has already taken place during the month of March 2020 and it has been observed in past when a down trend is triggered by a death cross it can last up 8 months 16 months easily. Market is already up by 31% and further upside from these levels seems less likely but still if index manages to hold above 9840 consistently then one must be ready for a retest to 10100-10600 zones. Areas of 10700-10800 will remain a crucial turning point. Crucial support is placed at 9300-9250...

NIFTY spot has closed at 10831.40, and facing stiff resistance near 10931 zones which is the high placed on Monday keeping this index under pressure. Nifty has been witnessing a nice uptrend on weekly chart from low 6825.80 which was placed during March 2016. A classic bearish head and shoulder pattern is emerging on weekly chart and this pattern gets its confirmation on break of the neckline which is near 10000 zones. If this pattern gets confirmed then it will open the doors for a retest to flip support which stands near 8900 zones. Price is struggling to hold above 50 weeks SMA which equals to 200 SMA on daily chart. Price resistance near 200 days SMA plays a significant role. 10 weeks SMA has already given a bearish cross below 50 weeks SMA and this SMA on weekly chart equals to 50 days SMA on daily chart. These developments on SMAs suggests that a death cross has already happened in this index. Price has also violated a rising trend line and recently it has experienced res...

A simple yet powerful tool that I use every day in my trading. It’s called symmetry. Symmetry in market means equality when comparing swing in same direction. This technique helps me to project probable target or reversal point on chart. In February after budget session NIFTY index took a dip of 1219.65 points from top of 11171.55 to low of 9951.90. This time nifty has been in a nice down trend from 5 weeks and it has headed a low of 10547.25 in today’s session. If we subtract 1219.65 points from recent top of 11760.20 then areas of 11540.55 are the probable support as per price symmetry. However areas of 10540.55 are probable support areas and reversal can’t be expected exactly from that same level but it can be used as potential support area. On this chart I have drawn a horizontal line which is connecting multiple highs and lows which is also a significant area and rising trend line and horizontal line both are intersecting near 10460 zones which is also a crucial point to wat...

Happy independence day!!! We are celebrating 71st independence day but what about financial freedom? Large number of people in this country give up their desire just because they can't afford. People who have batter financial management become wealthy in other words people who know how to make their money to work for them become rich and achieve financial freedom. No matter how hard you work, how much you earn if you can't manage your finance properly you would never achieve financial freedom. To prove my point let's take an example of two people. In early 2000 two persons, person 'A' and person 'B' employed in small shops in small town earning 3000 per month as salary. Person 'A' bought a colour TV which was costing nearly 25000 at that time and person 'B' bought a plot of 100 yards with that 25000 rupees. After 10 years that TV's value depreciated to 2500 from 25000 and that plot turned into an asset of 25lks... This is how properl...

Nifty spot is currently trading at 8565.55. This index has recently placed a top at 8968.70 which was 93.4% correction of entire bearish attempt from high 9119.20 to low 6825.80. Nifty has turned sideways near 88% Fibonacci correction of bearish move that presents ideal condition for a Bullish Bat harmonic pattern. Nifty price movement has already completed 3 legs of this pattern and now final leg ‘CD’ is in progress that completes near 88% correction of primary leg ‘XA’ which is placed at 5574. Based on price action Nifty, however, had recovered from 57% correction of bullish attempt from low of 5118.85 to high 9119.20 but failed to make a higher top to confirm continuation in longer term bullish trend and now it keeps chances alive for negatively biased sideways market. Nifty has been fluctuating between 8500-8900 zones from past few weeks and attracting buyers near the areas of 8500-8470 zones. Thus we can consider areas of 8470 as very strong support but a bearish cross on MAC...

Here are 5 reasons why NIFTY has potential to resume its primary (long term) bullish trend. Price has broken out above 1 year old descending trend line resistance which was drawn by connecting life time high of 9119.20 ( March, 2015) and another swing high 8654.75 (July, 2015). Broken trend line has provided strong support during most recent bearish attempts. Price has been staying above 20, 50 days EMAs and 20 days EMA is above 50 days EMA and both EMAs are trending up. Nifty has found strong support near 23.8% Fibonacci correction of bullish attempt from low of 6825.80 to high 7992. Smaller the retracement stronger the trend.  Price has started attacking on 200 days moving average while MACD is in positive territory.  A Confirmed breakout above 8000 will lead a strong rally in this index, whereas failure of 7650 will invalidate recent bullish developments. 

Nifty spot has successfully tested its flip resistance near 8000 and witnessed nice selling pressure after hitting intra-day high of 7978.45 and settled at 7912.05. Prices are facing resistance near 200 days SMA and 50% correction level of entire bearish attempt from top of 9119.20 to low of 6825.80. Nifty has been witnessing a consolidation in a small range from last 3 days that marks possibility of a bearish breakaway candlestick pattern which consists 5 candlesticks. We need 1 more candle to confirm completion of this pattern. MACD has been staying bullish territory but historical movement on this indicator hints overbought reading and might bring a reversal in this counter.  14 periods daily RSI is also around 67% and remains favourable for bears as long as RSI zone shift takes place. In this set-up we are using 2 moving average system to determine long term trend but short term ( 50 days) moving average is below long term (200 days) moving average that suggests a clear dow...

Domestic markets have responded positively to union budget 2016 and today NIFTY witnessed a rally of 235 which is largest intraday gain in last 1 year. A double bottom pattern has emerged on price chart and technical indicators are showing bullish divergence at the same time which is supportive for bulls. However, MACD indicator has been staying in bearish territory but a cross above its signal line hints weakening bearish momentum and divergence on this indicator hints strengthening bulls. 14 periods daily RSI has also formed a bullish divergence which is also supportive for bulls. On price action front NIFTY is now approaching towards descending trend line resistance and horizontal line which has flipped to resistance near 7260 zones. In case of stability above 7260 it will confirm a double bottom and descending trend line break and then a primary rally towards 7520-7600 zones can’t be ruled out. Support will remain at 7030 failure of this level seems less likely in case of fai...

Nifty has been experiencing a correction after hitting a top of 9119.20 during the month of March last year. This correction has occurred in a channelized manner and today nifty has witnessed nice recovery from 7241.50 after testing support line of this bearish channel. However, there is no evidence of bottom on chart and bulls need to establish a move above 7500 to claim their presence.  Index is staying below 5 days exponential moving average from last few days that suggests accelerated down trend. MACD indicator has been staying below center line and still it’s loaded with bearish momentum that remains a supporting factor for NIFTY bears. However, 14 periods daily RSI is testing oversold territory but it is also staying below its 9 periods moving average that keeps on going down trend intact. 2 Fibonacci projections are converging near 7220-7187 zones. These are the areas where NIFTY might get support. If nifty manages to spend considerable time below 7180 zones then down tr...

Nifty is currently trading at 8083. It had witnessed a sharp recovery in yesterday’s session after revisiting neckline of an inverse head and shoulder pattern. This chart is showing NIFTY’s love towards classic head and shoulder formation. Nifty is likely to stay in a range among 8000 and 8350. Areas of 8000 are supported by the neckline of an inverse HNS formation and 8350 are resisted by neckline of HNS bearish reversal pattern. Any confirmed breakout above or below these levels will clear the way for a bigger move. Nifty index has been experiencing down trend since March 2015 which has taken place in a channelized manner and currently we are trading in corrective leg of this bearish trend. Stability above 8000-7950 keeps nifty in short term trading range among 8000-8350. Any sustained move above 8360 will confirm resumption to longer term uptrend and then primary rally towards 8600 can’t be ruled out. Any failure of 7950 will invalidate current bullish move and then it will try to...

Nifty spot is currently trading at 8259, and this is the last session for the week ending on August 21, 2015. Today nifty has broken through the key support of 8355 established by a strong trend bar during the week ended on July 17, 2015. Possibility of a head and shoulder top reversal pattern is also visible and nifty has reversed from the height of the left shoulder and triggering possibilities of a head and shoulder reversal that will get confirmation if nifty manage to hold below its neckline around 7950 in coming days. As per current scenario market bias has turned bearish as prices have fallen below 20 weeks SMA and likely to settle below the same. Now areas of 8190 are a minor support if bulls manage to protect this level then we will see a consolidation among 8200-8500 in short term. Failure of 8190 will put focus back on the neckline support of this reversal pattern at 7960 and any weekly close below this level will offer a retest to 7200-6800 zones. A healthy correction is a...

Nifty has been trading in a down sloping parallel channel and selling pressure occurred near the upper line of this channel. Once again nifty is showing some strength after completing 3 bar pullback on daily chart. 20 days EMA is providing good support to bulls and now nifty is trading above its 5 days EMA that stands near 8396. Stability above 5 days EMA indicates strengthening bullish momentum. MACD has climbed above center line and now it is testing its signal line from above. MACD reading above zero line remains supportive for nifty bulls. Based on 3 bar pullback setup today nifty has triggered a buy trade by crossing Friday’s high and suggests continuation in on going uptrend. Areas of 8390 and 8340 will remain crucial to watch out. 2 or more close below 8340 zones will hurt this bullish setup. Resistance is now seen near 8560 and then at 8800 zones. Currently trading at 8432. Recommendation: Fresh entry can be taken on declines near 8400-8370 with stop loss below 8300 for targ...

Nifty future has fallen below its 200 days SMA recently and now hovering near the same. Today nifty futures has settled at 8238.70 on NSE forming a bullish pin bar. Follow up selling is not coming even though prices have fallen below 200 days SMA. 50 days SMA is still staying above 200 days SMA and keeping longer term bullish trend intact. On daily chart a Wolfe Wave pattern is clearly visible which has completed at point (5). Completion of WW brings trend reversal. Stochastic is fluctuating near 50 and forming lower top along with prices hints sideways activities. On hourly chart a bullish Wolfe wave and inverse head and shoulder patterns can be seen clearly. Market has witnessed a nice recovery from point (5) of bullish WW which is also forming head of inverse head and shoulder reversal pattern. Now we need a neckline breakout on hourly chart to validate this inverse head and shoulder pattern. On hourly chart stochastic is staying above 50 line and also loaded with positive momentu...

Today #NIFTY recovered nicely from 88.8% #Fibonacci_correction of previous bullish swing from low 8269.15 to high 8844.80 settled at 8429.70. Nifty has found support near the lower band of Bollinger and settled with a bullish pin bar/ hammer triggering possibilities of ‘W’ bottom near lower band. Possibilities of harmonic patterns bearish ‘Gartley’ and bearish ‘Crab’ have also triggered as market reversed from 88% correction of previous bullish leg ‘AB’ of this pattern. Immediate resistance is now seen near 8472 zones if market decisively holds this level then next possible resistance will be around middle band of Bollinger that stands near 8580. Further moves above 8580-8600 will trigger possibilities to complete #Gartley pattern that completes near 78.6% #correction_of_bearish_leg ‘XA’ at 8937. After that life time high 9119 will remain in focus and cross and close above that level will trigger the possibilities to complete bearish crab pattern that completes near 161.8% extension o...

NIFTY spot is currently trading at 8703. It has failed to climb above 8850 during 2 consecutive attempts and witnessed a nice sell off yesterday. Index has reversed exactly from 61.8% Fibonacci correction of a bearish swing from 9119.20 to 8269.15 triggering possibilities of AB=CD pattern in line with a probable head and shoulder reversal pattern. It has already completed leg ABC legs of AB=CD pattern and now leg D is due out that completes near 7994.75 zones. Potential head and shoulder pattern has a down sloping neckline and down sloping necklines has more significance than normal one. Failure of neckline is also occurs around 8000-7990 zones and decisive closes below those levels may bring a larger degree correction in market. Stochastic had also reached in extreme overbought territory and formed a bearish cross that is also supportive for short term bears. Currently nifty has strong resistance at 8850 any recovery above that level may help this index to move towards 8937-9000 zone...

Nifty spot has been moving in a rising channel and now trading at 8715 near upper edge of this channel. 8713.48 is 113% Fibonacci extension of bearish attempt from 8626.95 to 7961.35. Point ‘b’ was 70% correction of move ‘xa’ and recent breakout above 8627 zones has triggered possibilities for a harmonic pattern which is widely known as bearish crab pattern and this pattern completes near 9038-9060 zones. If today nifty fails to produce closing above psychological resistance of 8700 then we may see some consolidation that may be negatively biased and take nifty towards 8620-8450 zones. All in all market trend remains bullish until we get 2 consecutive negative closes on daily basis. Nifty has the potential to hit 8800-8910-9030 zones during this bullish whereas 2 consecutive negative closes may invalidate our bullish expectations.