Sunday, April 1, 2012

CNX Nifty 50 - Triple Screen 'Technical Analysis' - Week: 26 March to 30 March, 2012 - Relief Green as we wanted..

Our view 'Looking Forward' last weekend (click for post), was 'After 5 red weeks, if a relief rally is coming up, this is one such time'
As the EOW chart below shows, we have a green candle for last week ! 
Intra Week, we saw the Nifty take support at the 200 DMA, and we suggested that the 5 EMA-200 DMA range had to break (click for post). 
Bears failed to crack the 200 DMA on Thursday, then the Bulls pushed above the 5 EMA, to color this week's candle green, on Friday
What next?

 CNX Nifty 50 - End of Month (EOM) Chart - 30 M arch 2012 
Long Term View (or) Month Chart, each candle is 1 Month's price action (or) EOM:
A Bearish Harami is in place, with the completed red candle of March. 
Lower volume for a red month, is Bullish.
Close above the 5 EMA and 13 SMA, that we track is also good for bulls.
Revision of Bearish Harami, at these links or elsewhere, is a good idea.

CNX Nifty 50 - End of Week (EOW) Chart - 30 March  2012
Medium Term View (or) Week Chart, each candle is 1 Week's price action (or) EOW:
Bulls closed with a green candle, above the 34 EMA
Support was at the Trend line shown in black, famous for being a 13 month Resistance, once.
An 'ok' Hammer is the closest we can describe the last candle as, here are some reads.

CNX Nifty 50 - End of Day (EOD) Chart - 30 March  2012 
Short Term View (or) Day Chart, with closing prices of each day in a line (or) EOD:
The price has clearly closed below the channel bottom, and then come back, to close above it.
The 5 EMA and 13 SMA, are still in a bearish Cross.
The MACD is below the zero line, as is the Histogram.
Price has closed, above all the 'Moving Averages(MA)' we track on this screen.

Looking Forward: 
Currently the Index is neutral, across all three time frames.
Keeping above the Wall for this month (5180), & above the falling 34 EMA, Nifty stays Bullish.
Below the 200 DMA, if the bears manage to get there, Fib 61x is the next target.
The EOD chart of the Ichimoku study (Click) should be watched for the Senkou Span Cross.