Friday, September 26, 2014

Nifty, on holding the critical "7841", rallied 150+, avoiding the weekly downward momentum for now..

Nifty Intraday Update-III

Nifty Intraday Update-II

Nifty Intraday Update-I

Nifty Pre-Market View.

Last Week's candle - Hanging man making its presence & having a follow  up from OB zone.
FII's have net sold in the last Six days, & big on last three days with a rising VIX...
Week has been in overbought zone with continuing -ve divergences and hour has reached oversold zone & the day is heading into the OS zone.
The number quite relevant is "WLEma" -7892 & 7885, 50dsma.
Prices are reversing from the weekly channel top towards the channel bottom.
Prices suggest of:
a) a major correction is underway for the rise from 5933 to 8180 with "A" wave completed at 7925 & "B" done at 8160 .
b) the 4th wave unfolding  for the rise from 7422 & was expected to bottom around 7852-62/ 50 dsma (Break of 7841 would negate this view; BN negated this view on 24th itself.)
c) The rise from 7540 to 8180 is undergoing a correction & likely to hold above 7856-62/ 50 dsma.
Bearish scenario opened below "8055"..
Bullish scenario open only above 8060 & 8105.
For intraday, mild strength above 7938, last- hr High/ Day's Pivot or sustaining 7885, 50dsma..
Major support exist at 7856-62/ 50 dsma, break & close below it would lead to deeper correction.