IGI Logo

Nifty

‘Spinning Top/ Doji’ effect was witnessed in yesterdays session as Nifty collapsed towards the expected level aroundits20DEMA. Now the index is displaying a ‘Falling Three’ formation is a rare continuation candlestick formation exhibitingfurtherweakness to continue.On its daily scale both indicators display lack of strength as RSI continues to drift lower below50while ADX is already placed in its negative zone. Bounce backs if any to remain temporary as the hurdle around18630would need a strong reversal formation for negation of the weakness. Options data indicates key bounds at 18500-18000for the next week. With OI PCR at 0.76 there is room for a bounce back which could be utilised to deploy freshshortsduringthe week.Broad strategy for short term traders continues; to retain their long shorts positions throughout theweekuntiltheindex oscillates within the ongoing Broadening foration. While pullbacks within the broadening pattern fromhereonwouldbe temporary & hence any breakout trades on the upside should not be chased.

To Read Complete Report & Disclaimer Click Here
 

Please refer disclaimer at https://www.tradebulls.in/disclaimer
SEBI Registration number is INZ000171838 

Views express by all participants are for information & academic purpose only. Kindly read disclaimer before referring below views. Click Here For Disclaimer