Indian Stock Market View For July 31, 2012

DISCLAIMER: These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequences resulting out of acting on them.Trading in Stocks/Commodities/Futures Carry Risk.

S&P CNX NIFTY ( 5,199.80) + 99.95  +1.96 %

Trend direction is still not clear.As I said earlier a pattern formation is in the offing.Direction of the trend will be clear after the breakout.

Nifty Daily Chart

 

Indian Stock Market View For July 26, 2012

DISCLAIMER: These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequences resulting out of acting on them.Trading in Stocks/Commodities/Futures Carry Risk.

S&P CNX NIFTY (5,109.60 )  -18.60  -0.36 %

On July 23 rd I wrote, a close below 5159 is bad.And you see the result.Nifty has closed below 5165 which is 200 dma for 3 consecutive days.Also a lot of falling gaps are seen.So first benefit of doubt, I would like to consider that a pattern is forming unless it breaks and closes below the previous low of  5048.Today it has formed a hammer and if markets fail to regain above the 200 dma of 5165 in the next few days, situation will be worse.

NIFTY VIEW FOR JULY 23, 2012

DISCLAIMER: These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequences resulting out of acting on them.Trading in Stocks/Commodities/Futures Carry Risk.

S&P CNX NIFTY (5,205.10) -37.60  -0.72 %

Nifty as I said will tank below 5233 and it did.Intra day prices took support at 5197.For Monday i.e 23 rd July 50 dma (5163), 200 (5166) dma and the gap area of 5159 are areas to look in for support.A close below 5159 is bad.

INDIAN STOCK MARKET VIEW FOR JULY 20, 2012

DISCLAIMER: These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequences resulting out of acting on them.Trading in Stocks/Commodities/Futures Carry Risk.

S&P CNX NIFTY (5,242.70) + 26.40  +0.51 %

Nifty has made a NR7 day.NR7 means narrowest range in 7 days.Volatility has shrunk to it’s lowest in 7 days so expect a spurt in volatility. Expect a big move in either direction.For bullishness, watch for a break of 5258 on the upside with a stoploss of 5233.For bearishness watch for a breakdown of 5233 with 5258 as a stoploss.

INDIAN STOCK MARKET VIEW FOR JULY 19, 2012

DISCLAIMER: These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequences resulting out of acting on them.Trading in Stocks/Commodities/Futures Carry Risk.

S&P CNX NIFTY (5,216.30)  +23.45 + 0.45 %

TODAY’S MOVEMENT

Nifty 5 Mins Chart


Nifty tested the Gap area of 5159 and went up.So in the coming days if Nifty does not close below 5159, it will be bullish.Resistance exists in the 5261 – 5301 area.

Nifty Daily Chart

 

INDIAN STOCK MARKET VIEW FOR JULY 17, 2012

DISCLAIMER: These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequences resulting out of acting on them.Trading in Stocks/Commodities/Futures Carry Risk.

S&P CNX NIFTY (5,197.25) -30.00  -0.57 %

Nifty, may test 5159. A test is ok, but a close below 5159 may convert the breakaway gap to a pattern gap.If this happens, expect a pattern to form i.e a consolidation / distribution pattern and a break away from these levels will lead to a future trend.

 

NIFTY VIEW FOR JULY 12, 2012

DISCLAIMER: These notes/comments have been prepared solely to educate those who are interested in the useful application of Technical Analysis. While due care has been taken in preparing these notes/comments, no responsibility can be or is assumed for any consequences resulting out of acting on them.Trading in Stocks/Commodities/Futures Carry Risk.

S&P CNX NIFTY ( 5,306.30) -39.05  -0.73 %

Nifty, I had been bullish in my last posts. Nifty performed as expected.Today is NR7 and Inside day.So watch for a big move in either direction.Normally, a big move like yesterday is followed by inside day, as I have illustrated below the daily chart.Stoploss for the longs taken is a close below 5159.

Nifty 5 mins chart given below shows a consolidation inside a rectangle and then a breakout.Also see today’s range is engulfed by yesterdays price bar.

MCX

The MCX intra day chart is a glaring example where the public bought because of good news and the smart money sells it.Also see two bearish flags.