Hi All,
As discussed in the earlier post of Engulfing Bull, the upmove was stalled as Nifty could not surpass the levels of 11850-70 levels. In fact bears even dragged down the index to the lower support levels, where Nifty went down till 11650 levels (Supports 11600-11400)
However, yesterday's strong push for the markets, have created another Bullish Engulf Pattern and yet again given hope for bulls...
But a sign of concern for me would be, a probable making of an Head & Shoulder pattern (HNS) on daily charts, which would have bearish implications and could set targets near 11100-11000...
Hence, the plan of action would be.....
For longs Nifty should surpass ans sustain 11850-70 levels, and could then target 12k-12.1k on the higher side. Buy on dips for favorable risk reward
For shorts, Nifty breaking the supports near 11630-11600 (Neckline of HNS), and there by violates the neckline, could mean that the index is set to target lower levels around 11400-11250-11100-11000...
Cheers!
Hrishi
As discussed in the earlier post of Engulfing Bull, the upmove was stalled as Nifty could not surpass the levels of 11850-70 levels. In fact bears even dragged down the index to the lower support levels, where Nifty went down till 11650 levels (Supports 11600-11400)
However, yesterday's strong push for the markets, have created another Bullish Engulf Pattern and yet again given hope for bulls...
But a sign of concern for me would be, a probable making of an Head & Shoulder pattern (HNS) on daily charts, which would have bearish implications and could set targets near 11100-11000...
Hence, the plan of action would be.....
For longs Nifty should surpass ans sustain 11850-70 levels, and could then target 12k-12.1k on the higher side. Buy on dips for favorable risk reward
For shorts, Nifty breaking the supports near 11630-11600 (Neckline of HNS), and there by violates the neckline, could mean that the index is set to target lower levels around 11400-11250-11100-11000...
Cheers!
Hrishi
