Nifty Intraday Technical Analysis for 23rd Sep 09

Nifty Intraday Analysis - 5 min:

Nifty continued its fall from yesterday and took support from 5000 level. Later on it bounced back with low volumes and formed a head and shoulder pattern. It gave a break down and reached the target immediately. Reversal at the break down at 4992 was good trade and gave almost 1% profit with in few mins.

Nifty Intraday Technical Analysis for 29th Jul 09

Nifty Intraday Chart - 5 mins:

Nifty opened gap down of 20 points, reaching the first target of Bearish Gartley. It took support from exactly 4527 levels which I have mentioned in morning post, and started moving up with low volumes forming a Head and Shoulders pattern. It gave a break down from the neckline with good volumes, and reached the target immediately. Also it reached the second target of Gartley in the same down move.

It took support by closing the Gap formed on 23rd July and formed an Ascending Triangle with trailing Narrow Range, target of which is reached in intraday itself. Over all a good day, got good reversal entry at the top most point of the down move yesterday :)

Head and Shoulders in Dow Jones - 15th Jul 09

Above is the Daily chart of Dow Jones marked with Head and shoulders pattern, prices moved above the neckline. One can clearly see that the breakdown didn't happen properly and this present up move is obvious. This present up move is also not with good volumes, so there is an equal chance of forming a second right shoulder here. If this pattern fails we may see good up moves in near future.

Head and Shoulders in Dow Jones

Dow Jones, formed a Head and shoulders in daily charts. Volumes are decreasing, which is Ok for head and shoulders. Yesterday it closed right at the neckline support, but big down fall happened with low volumes. If the neckline is broken is with good volumes Dow may see 7600 levels. This can be a retest to the channel, also there is a possibility of forming an inverted head and shoulder if it moves up with good volumes.

Below is the Daily chart of Dow Jones.

Nifty Technical Analysis For July 1st

Today’s Recap (June 30th):
Nifty Opened Gap up of 29 points, and started moving down with good volumes forming the right shoulder for the head and shoulders from 26th June to today. But the break down volumes were not as good as desired, but also not too far from ideal. Target for this pattern reached with out any good retracement. Below is the 5 min chart of Nifty Futures:

In the other angle as expected CD leg formed an extension to the AB leg, which I have posted on 27th June. Today it reached the first target of 61.8%, but Nifty dipped down a little bit below the support line and moved up with good volumes. Below is the 20 min chart of Nifty Futures:

Cues For Tomorrow (July 1st):
Nifty can show weakness below 4220/4200 levels. Else there could be chances of moving up. As today’s move is 64% of all entire up move from 23rd June again harmonics may come into play, to from the CD leg. Pull back with good volumes was also seen at the end of the day. Good reversal signals must be seen in order to trade CD leg as the BC leg was with good volumes. Also the gap which has formed on 26th June is not covered yet, which could be one more support for the price.

On the higher side 4345/50 levels may give resistance, above which it can reach up to 4450 levels. One can expect some recovery for tomorrow.

On the lower side gap at 4250 may give support, and then 4220 may act as good support. Below which Nifty may show bearishness. Below is the 20 min chart of Nifty Futures:

Nifty (Futures) Technical Analysis For June 18th

Yesterday's Recap (June 17th):
In the morning hrs Nifty was moving in sideways direction while it closed the opening gap with low volumes. Formed a good symmetric triangle giving an opportunity for entering trade. Short entry at the symmetric triangle breakdown was the best in today’s trading. Later Nifty broke the Support trend Line of Inverted Cup and Handle with big volumes, confirming the further down move. Also there was a head and shoulders pattern formed in the handle part and the neckline of that pattern is exactly at the same point of the Inverted Cup and handle support line.

Nifty reached the target of the head and shoulders pattern and symmetric triangle pattern in intraday. While reaching the target of the head and shoulders it made a flag pattern and reached the target for that in intraday itself. Below is the intraday 5 min chart of Nifty Futures:

Cues For Today (June 18th):

At the end of the day volumes increased drastically forming a parabolic shape, which is indicating some up move could be possible. And also now price came near to the support of the expanding triangle. Partial pull back is very much possible but NIfty may come back to the lower levels as bearishness is clearly visible. If price breaks the support of the Expanding Triangle with volumes convincingly then the next target will be height of the expanding triangle.

On the higher side 4390/4400 may act as resistance. Above that, Nifty may go and retest the cup and handle resistance line.

Below is the 15 min chart of Nifty Futures:

Update: Diamond Pattern in Axis Bank

Update on Diamond Pattern in Axis Bank. Axis bank formed a small head and shoulders near the resistance. It formed a long legged hammer which will give support for it now. Move the stop loss to any of the support zone depending up on risk appetite. Below is the 15 min chart of axis bank

Intraday Analysis of Nifty (Futures) on 21st May 09

Nifty opened gap down today and price started moving sideways. A channel is formed, with draining volumes and gave a break out with good volumes and reached the target. After retracing to some point price started moving up again, but with low volumes compared to previous up move. And the shooting star is indicating some bearish signals, so this is surely a double top hence we go short below the support trend line. Below is the chart showing Channel and Double Top in Nifty futures on 5 min time frame:



In an Ideal head and shoulders, while price is moving upwards in head volumes should not be very high as this indicates bullishness. Here we got good volumes while moving up, but later we saw a double top which is bearish sign and while moving down from the second top volumes increased nicely as compared to the up move. In the right shoulder volumes declined while moving up and increased while moving down, which is good. Though we got higher volumes in while moving up in formation of head, double top is negating the bullishness and nice volumes in right shoulder is telling us this is a good head and shoulder pattern. And the big volumes and wide spread at the break down confirm the head and shoulders pattern. Below is the chart showing Head and shoulders in Nifty futures on 5 min time frame:

Intraday Analysis of Nifty (Futures) on 20th May 09

Nifty futures formed a nice head and shoulders pattern in intraday, with draining volumes. Small Head and Shoulders formed inside, right on top of the head indicating the bearishness and is the highest point of the day. Volumes increased as soon as the breakdown happened and price dropped down reaching the target. Below is the chart of nifty futures in 1 min time frame:

Again towards the end of the day, Nifty Futures formed a Bullish Wolfe Wave. Symmetry is good and higher volumes at 5 are supporting the pattern. Long trade is already triggered and I am long since 4272 with the stop loss at 4247.

Nifty (Futures) Intraday Analysis for 28th April 2009

Nifty opened gap down due to weak global conditions started moving down due to higher supply. Price took support from 200DMA at 3393 for some time. Formed Head and Shoulders pattern, giving support to bears. When price confirmatively broke down from head and shoulders bears became stronger and prices drifted down rapidly.

We can see how Head and Shoulders acts as continuation pattern in today’s intraday charts. Below is the Nifty Futures intraday chart on 5 min time frame:

My Trades:

• Short triggered at 3397 when Pivot is broken 
  
• Closed short at 3355 at 3:20 PM
  
• Total 42 points profit in single trade.
  

Technical Analysis on Reliance (March-April 2009)

Reliance is in an uptrend channel since 5th march till now. Formed a good number of bullish patterns adding strength to the channel so far.

Since last few trading sessions, reliance is showing bearishness to me. Here is the 5 min chart highlighting bearishness in my view.

Big Head and shoulders in aqua colour:

• Volumes are moderately increasing at the left shoulder, but should have been more in my opinion.
• Volumes are moderate when the price is moving up in head, which is good
• A bearish wolfe wave at the top of the head, more details below.
• While price is moving down in the head, volumes are expanding, which is good
• At up move of the right shoulder, volumes are low, which is good.
• At the right shoulder, volumes are increasing in the down move here, which is good.
• Right shoulder itself is another small H&S, details below.
• Over all a confirming H&S. Target for this pattern is 1615, but it is suggested to take short trades when channel support is broken convincingly on hourly charts.

Wolfe wave at the top of the head

• Shown with yellow from 15th April 1:50 PM to end of the day
• Good Symmetry and at point 5 volumes are high as required.
• Target is reached the next day.

Small Head and Shoulders

• Formed at the left shoulder of big H&S, shown in Blue -Grey color
• Volumes are accordingly with the pattern.
• Neckline is broken and target is reached in the same day.

Nifty (Futures) Intraday Analysis for 16th April 2009

So many pattens in todays NF Fut intraday, below is 2m chart

1. Descending broadening wedge(Marked with yellow) volumes are increasing for the whole day.

2. Channel (Marked with aqua), Volumes were draining

3. Two Gartley Pattens (Marked with Pink)

4. A small Inverted head and shoulders (marked with pink), and volumes are also accordingly to the patten.

My trades:

• Entered short at 3468, after the pivot low is broken.
  
• Stopped out at 3426, when pivot high is broken.
  
• 42 points profit for single trade.