|Nifty 50 - End of Month (EOM) Chart - Channel analyzing Data from 2008 onward - as on 18 July'14|
|Nifty 50: Medium Term View (or) EOW Chart (or) Week Chart - each candle is 1 week's price action|
|Nifty 50 - End of Day (EOD) Chart - Channel analyzing Data from Feb'2014, onward - as on 18 July'14|
Learning from last Week: (click here for the previous post)
- Last week's Engulfing Pattern does not mutate into a Three Outside Down #W1.
- Last two candles on the Medium Term Chart make a Bullish Harami #W1.
- Index holding above the Daily 50 SMA, sails through the Wall (7494) to get the 5 EMA and 13 SMA to touch #D1.
- EOD VOLEMA dips, while price line rises, last few days #D2.
- MACD shows clear divergence with Price #D2.
Bulls hold all screens, while Bears produce a stalemate by preventing critical averages from crossing #D1.
Looking Forward into this Week:
- Bullish Harami Pattern on the Medium Term Screen is now active (Study links here, here or elsewhere).
- Bullish Harami Pattern turning into a Three Inside Up (Study links here, here or elsewhere), is the next Bull Hope #W1.
Support & Resistance:
- Bears will want to get back below the 5 EMA on the EOW (7567) #W1, while Bulls look to get above R1 on the Month Pivot #D1.
- MACD divergence to Price look good for Bears, while the MACD crossing above its MA helps Bull cause #D2.