Monday, August 18, 2014

CNX Nifty 50 - Triple Screen 'Technical Analysis' - Bulls slip above the wall - Week 3 of August 2014.



Nifty 50 - End of Month (EOM) Chart - Channel analyzing Data from 2008 onward - as on 14 Aug'14



Nifty 50 - End of  Week (EOW) Chart - Channel analyzing Data from Mid 2011 onward - as on 14 Aug'14



Nifty 50 - End of  Day  (EOD) Chart - Channel analyzing Data from Feb'2014, onward - as on 14 Aug'14





Learning from last Week: (click here for the previous post)


Patterns:
  • Bulls slip Index above the August Wall. July Candle's High Wave effect, gives the Bulls some joy #M1. 
  • Last two candles on the Weekly chart form a 'Above the Stomach' Pattern #W1.
Support & Resistance:
  • Bulls defending the Day Channel Bottom #D1. close above the 5 EMA on the EOW #W1
  • Bears fail to defend the August Pivot 7667 and give up the Wall 7721 #M1
Moving Averages: 
  • The critical 5 EMA and 13 SMA on the EOD cross bullishly mid-week to give Bulls dominance of all screens #D1.
Indicators:
  • MACD and its MA touch for a Bullish Cross - reflecting the recent Bull moves #D2. 
  • STS below its resistance line - but remains in the over bought #W1.

Wrap:
Bears lose control of the short term screen after index slips above the August Wall 7721 (Study), Bears defend recent Highs #W1.




Looking Forward into this Week:



Patterns:
  • July candle's High Wave effect (Study links herehere or elsewhere) is on #W1.
  • The 'Above the Stomach' Pattern (Study links herehere or elsewhere) near the Highs, warrant a careful look #W1.
Support & Resistance:
  • Bears seek to get below the confluence of the 5 EMA on the EOW (7669) & Month Pivot (7667) #M1 - the current Index support #W1.
  • Index  faces resistance at the last ATH (7841). 
Moving Averages: 
  • Golden Cross (study herehere or elsewhere) of the 50 & 200 SMA is on - however the MA's have initiated converging #D1.
Indicators:
  • STS slipping below the overbought, augers well for the Bears #W1.


Wrap:
Bulls look to defend the Month Pivot #M1 and get above the ATH (7841) #M1.
Bears look to get below the August Wall 7721 and break the EOD channel bottom #D1.