#MarketUpdate - Bears come back for a weekend party ! ! !

Hi All,

Whoa.....What a comeback from bears.....

After a continuous rally of more than 5%, I expected a halt couple of days back when there was a bearish Harami pattern, which was not respected by bulls, but finally today, bears fought back strongly and even won the battle for a week.

In spite of bullish closes for 7 out of 8 days after the bottom at 10330, Nifty weekly chart now looks gloomy with a Shooting star link candle appearing near the resistance area mentioned earlier.... and hence, 10730-10700 levels is the last chance for bulls to pull back, else as per the lower top lower bottom formation of the hourly chart, near term trend looks negative with supports near 10660-10620-10550-10490-10430 and the final one near 10330.

As mentioned in earlier posts, if Nifty fails to create a bottom above 10330 and pull back from there, I feel even the 10k level would be at a risk....

#MarketUpdate - Bulls back on Track ?

Hi All,

As expected, Nifty surged after surpassing the levels of 10850 and today closed near 10970 levels.

Markets have crossed most of the resistances and now the final hurdle can be near 11050-11100-11170

Moreover, Nifty managed to cross and even close above the prior high of 10941 which is a very good sign as per Dow theory - Higher Top.... Higher bottom formation.

Also, Nifty has closed above the Supertrend on daily chart which is another encouragement for bulls, and now 10540-10500 levels will act as Supertrend support as well.

Nifty should now sustain these levels and surpass the resistances mentioned above.

Technically even the mid term bias has changed to positive, however I would like to wait for a while. Nonetheless, the recent bottom near 10333 becomes very crucial now and will be foundation support hereon, below which Nifty can even break previous bottoms near 10k levels.

Cheers

Hrishi