Update 12th June 2020 3:20 PM
.....and the Gap closed.....
What a rally that was for intraday...
Hope everyone took a part in this upmove...
Nifty near the resistance near 10k, also showing some weakness on hourly charts, the 30 mins candle look almost like Gravestone Doji (bearish) though a green candle, red would have been preferred, also at a falling trendline resistance, potential for shorting...
But as advised, let's not take a overnight trade for this weekend....
Cheers
Happy Weekend...
Hi All,
Hope this post finds you safe and secure... wherever you are... Take care...
As per the previous update on the Bearish Belt Hold, Nifty, after falling below 10120 (entry for the short trade, for a while, went up almost till 150 again yesterday, however resumes the trend down and thanks to the global cues, fell more than 300 points today at the opening itself.
Those who shorted near 10120 can comfortably book part / full profits and trail stops.
Going forward, I feel, Nifty now has taken support near a previous gap up opening between
1. 29th May and 1st June, and a close above 9600 would mean the gap worked as a buying support for the prices.
2. Moreover, Nifty also staying above the 50% retracement of the recent rally from 8800 to 10330, which is near 9567.
3. On hourly charts too, Nifty gave a Bullish Belt hold pattern (opposite to the bearish one mentioned in previous post).
4. While going up 9700 would be crucial to watch as there are lot of levels confluencing near the same, 9706 is the upper end of the gap up support mentioned in point no 1
5. The same gap is also visible on weekly charts, hence more likely to act as support for a while at least
6. 9701 is the 20 DEMA as of now, also the hourly head and shoulder which broken down below the neck line yesterday, has its target near 9650-9700.
7. Hourly RSI too was way lower near 24
All of this, suggests that we can not deny a small pull back on the higher side in near term, however owing to the lower top lower bottom formation, short / mid term trend still remains bearish.
So, the plan of action can be, bears can book profits for a while and enter short trades at higher levels, only after further bearsih evidences. Please note that the 61.8% retracement of the recent rally is near 9388, and sustaining below which opens the door for 9130 (78.6%) and then finally 8900-8800 the recent bottoms of May.
Bulls, can think of taking a near term longs with stops below 9560-50, as it is too deep, buy on dips would be advised. Better to take intraday trades with smaller risks.
An indicative intraday trade today can be to buy near 9720-25 with stop loss below 9650 and targets near 9800-9900... A small risk trade...
Cheers
Hrishi
.....and the Gap closed.....
What a rally that was for intraday...
Hope everyone took a part in this upmove...
Nifty near the resistance near 10k, also showing some weakness on hourly charts, the 30 mins candle look almost like Gravestone Doji (bearish) though a green candle, red would have been preferred, also at a falling trendline resistance, potential for shorting...
But as advised, let's not take a overnight trade for this weekend....
Cheers
Happy Weekend...
Hi All,
Hope this post finds you safe and secure... wherever you are... Take care...
As per the previous update on the Bearish Belt Hold, Nifty, after falling below 10120 (entry for the short trade, for a while, went up almost till 150 again yesterday, however resumes the trend down and thanks to the global cues, fell more than 300 points today at the opening itself.
Those who shorted near 10120 can comfortably book part / full profits and trail stops.
Going forward, I feel, Nifty now has taken support near a previous gap up opening between
1. 29th May and 1st June, and a close above 9600 would mean the gap worked as a buying support for the prices.
2. Moreover, Nifty also staying above the 50% retracement of the recent rally from 8800 to 10330, which is near 9567.
3. On hourly charts too, Nifty gave a Bullish Belt hold pattern (opposite to the bearish one mentioned in previous post).
4. While going up 9700 would be crucial to watch as there are lot of levels confluencing near the same, 9706 is the upper end of the gap up support mentioned in point no 1
5. The same gap is also visible on weekly charts, hence more likely to act as support for a while at least
6. 9701 is the 20 DEMA as of now, also the hourly head and shoulder which broken down below the neck line yesterday, has its target near 9650-9700.
7. Hourly RSI too was way lower near 24
All of this, suggests that we can not deny a small pull back on the higher side in near term, however owing to the lower top lower bottom formation, short / mid term trend still remains bearish.
So, the plan of action can be, bears can book profits for a while and enter short trades at higher levels, only after further bearsih evidences. Please note that the 61.8% retracement of the recent rally is near 9388, and sustaining below which opens the door for 9130 (78.6%) and then finally 8900-8800 the recent bottoms of May.
Bulls, can think of taking a near term longs with stops below 9560-50, as it is too deep, buy on dips would be advised. Better to take intraday trades with smaller risks.
An indicative intraday trade today can be to buy near 9720-25 with stop loss below 9650 and targets near 9800-9900... A small risk trade...
Cheers
Hrishi
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