The quality of the bounce and the hourly technical setup as it clears the resistances ahead should guide us in deciding on the direction.
Daily technicals on the verge of turning up and it requires a firm close above 2940.
Volume, which was declining since the 3110 top reached lowest on Friday and the same has increased but requires a follow up buying tomorrow. As usual, Metals have started the rally.
A likely consolidation around 2900 to 2950 may take place initially before further upmoves towards 3000.
2 comments:
Hello sir,
i am really confused that while drawing trendline whether i should keep chart at log scal or linear scale so what would you advice.
Regards
Hi Meet,
For larger time frames such as monthly & weekly log scales are good and for shorter versions like day, Hour & 5-Minute semi log scale would do.
There is no strict rule about it. Some times with a click of the mouse you can change the chart from log to semilog and vice versa and look fore any other important support & resistances emerge. And view these channels with some indicators to get the underlying strength & weaknesses as well as exhaustion at the tops & bottoms.
Best regards.
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