Nifty 50: Long Term View (or) Month Chart, each candle is 1 month's price action (or) EOM Chart:
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| CNX Nifty 50 - End of Month (EOM) Chart - 12 October, 2012 |
Above is the Month Chart - EOM - analyzing Data from 2008 onward.
Nifty 50: Medium Term View (or) Week Chart, each candle is 1 week's price action (or) EOW Chart:
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| CNX Nifty 50 - End of Week (EOW) Chart - 12 October, 2012 |
Above is the Week Chart - EOW - analyzing Data from Mid 2011 onward.
Nifty 50: Short Term View (or) Day Chart, line chart of closing Prices (or) EOD Chart:
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| CNX Nifty 50 - End of Day (EOD) Chart - 12 October, 2012 |
Above is the Day Chart - EOD - analyzing Data from May 2012, onward.
Learning from the Past Week: (click here for the post)
Divergence at the MACD (f) helped the Bears, the Signal line crossed the MACD early in the week exactly as anticipated and Bears got a red week.
A bearish cross of the 5 EMA and 13 SMA (e) confirms that the Bears have arrived on the EOD.
Bulls keep it above the 5 EMA on the Medium and Long Term Screens (a,c).
The short fuse indicator (b) turns down, indicating the effect of this month's candle, to-date.
STS in oversold (d) indicates Bull power.
Month candle turns red (a).
Bearish Engulfing Candle Pattern forms on the EOW (c).
Looking Forward into the next Week:
Bulls, after failing to clear the EOD Channel top look at the Blue center line (e) as support.
A massive Pullback to the Monthly Channel's Green bottom line (a) - is the still the Bull agenda.
Gap between the 50 SMA and 200 SMA on the EOD, now starts contracting.
Staying above the red support-resistance line on the STS (d) is important for the Bulls.
Getting the Index below the 5 EMA on the Week Chart (c) is critical for the Bears.
Bears look forward to the Bearish Engulfing (c) developing into a Bearish Three Outside Down.. So watch if the next week's candle looks like closing below last weeks, for this Highly reliable Bearish Pattern to kick in.
