Not loosing ground . . . .

Hi all,

As per morning update, Nifty scaled higher and crossed the resistance of the hourly and 15 minutes chart patterns, which now means that it is likely to go further up. A close above 7510-15 levels will mean a lot for Nifty and then once can expect that it will even cross the highs of 7610-7640 as well because they are weak resistances now.

Cheers

War Field . . . ! ! !

Hi All,

As expected, Nifty could not cross the resistance mark near 7460-65 levels (yesterday’s high was of 7457.05) and sold off by more than 0.50% intraday.

For today, Nifty is likely to open on a flattish note as per SGX Nifty which is down by 4 odd points.

Intraday view – Nifty has created a Morning Star Pattern yet again on 15 minutes charts and also has a Hammer like pattern on hourly charts, the bias for Nifty will turn positive for the day only above the highs of these patterns near 7430-7465 respectively.

On the lower side as said yesterday 7360-7340 will now act as key supports below which we can expect Nifty to go further down near 7320-7300-7250-7230

For midterm bias, 7240-7230 holds the key and breaching this level would mean that the short term bias will again change to bearish, the id term bias which was bearish with a reversal level above 7640-7730 will aggravate below 7230 and the gates for 7100-6900 are then wide open for markets.

Traders are advised to trade cautiously with proper stop losses for both long and short trades as the volatility is expected to go up on account of key announcements like Rail Budget (26^th Feb), Union Budget (29^th Feb) and Economic Survey (25^th Feb).

Cheers

Hrishi

Star Wars..... Ears Win . . .! ! ! !

Hi All,

The battle of Bulls and Bears with Morning & Evening stars, the bears won yesterday and as per our expectation, after breaking the earlier resistance and now support of 7500, Nifty tanked by almost 150 points to create a low of 7350 odd levels.

Near the bottom of 7350, Nifty completed 71% retracement of the entire rise from 7240 to 7600 levels and after a strong gap up opening today, there is a small respite for bulls and 7350 will now act as a support going forward...

Levels to watch out for intraday are

Supports – 7400-7350-7320-7250-7230-7200

Resistances – 7435-7460-7510-7580-7610-7640

In a nutshell, the intraday bias for the Nifty will be bearish till the time 7460-65 levels are not breached.(as the key support of 7400 is broken and on account of Evening Star Pattern on daily charts)

Traders are advised to trade cautiously as the India Vix index has bounced back sharply yet again from the lows of 17.30% and now trades near 18.1%

Cheers

Star Wars . . . .

Hi All,

Exactly as expected, Nifty took a solid resistance near the first target of the short term bias of 7610 and my view on bulls need to be cautious turned out to be right. Today, Nifty even broke 7500 levels, and closed below the same significantly. Today’s fall was more on account of a sharp bounce in the India Vix index from daily support zone as mentioned earlier. India Vix bounced back from 16.48% (daily support near 15.50-16.50%) to 18.30% almost.

In this bargain, Nifty has given an Evening Star Pattern on daily charts, which is a sign of concern, however the pattern didn’t exactly appear at the end of an uptrend, so the harm may be limited. Evening Star will get conformed only if Nifty breaks 7400-7380 mark and stay there for a while. In my earlier post dated 25th Jan 2016, there was a Morning Star (Bullish) pattern on hourly charts and now we have its bearish counterpart on daily....

In a nutshell, the short term bias will continue to be bullish till the time Nifty trades above 7380-7400 levels, the medium term bias was negative and will continue to be dovish till the time Nifty does not surpass the up side hurdles near 7610-7640-7740.

Traders have to keenly keep a track of the globe tonight for tomorrows opening, SGX Nifty will give a hint.....

Cheers ! ! !

Be Cautious . . .

Hi Everyone....

As expected, Nifty is facing resistance near 7600-7640 levels and bulls are expected to be cautious.

Also, India Vix is up today by 4.5% which is a sign of concern for bulls...

Cheers

Hrishi