Tuesday, October 21, 2014

A running correction done after the big gap up & prices would move higher holding WEma..

Nifty Intraday Update-III

Nifty Intraday Update-II

Nifty Intraday Update-I

Holding above "7832", WLEma, "pause in downtrend" continues as "relief rally"...

Nifty Broke out @ 7872 which coincided with JNSAR of the day.
As the chart below suggests, prices are most likely to reach the weekly channel bottom and it will happen in stages of falls & rebounds..; and that rebound is on..
ST strength continues above 7865-74, last two hour lows.
Hour chart's "Contracting triangle" with prices oscillating between these two ranges while technicals reaching highly oversold region with +ve divergences broke out above 7870 & has pulled back, poised to move higher.
Cluster resistances are in the region of "7912-28" and then at "7970".
Since the fall from 8180 to 7724 is a 3-wave fall, the retrace could be "any %"..
Know the direction...know the retracement & make the trades..