Monday, December 16, 2013

CNX Nifty 50 - Triple Screen 'Technical Analysis' - Repulsion EOW - Week 3 of December 2013.

Nifty 50 - End of Month (EOM) Chart - Channel analyzing Data from 2008 onward - as on 13 Dec'13

Nifty 50 - End of  Week (EOW) Chart - Channel analyzing Data from Mid 2011 onward - as on 13 Dec'13

Nifty 50 - End of  Day  (EOD) Chart - Channel analyzing Data from Aug'2013, onward - as on 13 Dec'13

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


  • Bulls justify the long term 'Three Inside up' #M1 - with a new ATH in December.
  • November's 'Hanging man influence' helps Bears get the Short Term Screen to neutral zone. 
  • Last two candles on the EOW #W1, sets up a 'Three Outside Down'.
Support & Resistance:
  • Bulls and Bears dominate last week, as our EOW channel top, repulses Bulls precisely #W1 and 34 SMA #D1 is closest support.
  • Bulls gain above the 13 SMA on EOW #W1, 5 EMA held by a whisker.
Moving Averages:
  • EOD - 50 SMA and 200 SMA stay crossed bullishly in a Golden Cross #D1. 
  • Bulls find momentum above the 5 EMA (Weekly) #W1 to make a new ATH.
  • STS stays above resistance line #W2, which was a strong support for Bulls as expected. 
  • Lower volume for the second half of the week, a plus for the Bulls #D1.

Bulls fighting for the short term screen - Bears again fail at the Weekly 5 EMA #W1.

Looking Forward into this Week:


  • Bullish 'Three Inside up' (Study link herehere or elsewhere) on the Long Term Chart #M1, still active after producing a new ATH in December. 
  • Hanging man (study herehere or elsewhere) candle of November, continues to influence the above.
  • Medium Term Three outside Down (Study here, here or elsewhere) triggers, if this week's close is below the last week's close of 6168. 
Support & Resistance:
  • 34 EMA, 50 SMA and Channel Mid line remain Good Supports #D1.
  • Week channel top #W1 remains a pretty decent resistance for Bulls.
Moving Averages: 
  • Golden Cross (study herehere or elsewhere) 50 & 200 SMA - can continue to give the Bulls verve to attempt new ATHs.
  • Keeping above the 5 EMA on the EOW (6162), #W1, Bulls retain momentum to attempt another attack on the recent ATH #W1.
  • With the index closing above 6196 on Monday, Bulls would avoid starting the week with a Bearish Cross of the 5 EMA and 13 SMA on the EOD #D1.
  • MACD and its MA poised for a Bearish Cross #D1.
  • STS keeping above its support line, works for the Bulls #W2.

Bulls seek to keep clear above the 13 SMA (EOW) and attempt another attack on the ATH - Bears look to close the week below the 5 EMA #W1 and trigger a Medium term Three Outside Down.