Monday, 12 January 2015

NIFTY weekly analysis for 12 January’15 to 16 January’15


Elliott wave theory: 5th wave is still intact on weekly chart. It is suggesting for a final move in this wave sooner. Trend is up with key support running near 8200-8150 levels for this week. I advise caution for higher levels for this week. Caution advised if Nifty comes near 8445 levels. Let us see.

Market cycle: Historically, first two weeks of January used to be bullish. So far, trend goes in the same way. I hope that we may have some more upside after some consolidation. Question is – Will this time a final top come in first two month of the year itself? A blow up top is expected.

Technical indicators: It has crossed above 8335 and then a shoot up 8445+ levels. Technical indicators are still not very concerning. Above 8445 we may see run away rise towards 8600+.


Charting pattern: Charting support will emerge at 8300 levels. As long as it is above 8300 levels we can expect this to up tend to continue. Trend seems to be up and this is buy in dip market but add word of caution on crucial resistances. 

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