Monday, November 17, 2014

CNX Nifty 50 - Triple Screen 'Technical Analysis' - Skirmish at Channel Line - Week 3 of November 2014.

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

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

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

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

  • November candle  revives possibility of a Long Term Evening Doji Star#M1.
  • Old EOD Channel Line (blue) remained resistance for Bulls most of last week as studied #D1
Support & Resistance:
  • Index was held back by the old EOD channel (Blue) but stayed well above the Daily 5 EMA #D1.
Moving Averages: 
  • The critical 5 EMA and 13 SMA on the EOW, stay Bullishly crossed #W1.
  • MACD above the zero line, divergence to price apparant #D2.

Bulls dominant across all screens, manage to crack the Blue EOD channel resistance last week, Bears hold the skirmish to a deuce, bringing back the Index to the Blue EOD channel top #D1 

Looking Forward into this Week:

  • October candle is a Closing White Marubozu (Study Links herehere or elsewhere),  same is now active in the long term, November Candle to be watched for evening star possibility #M1.
  • Old EOD Channel Top (blue) remains the resistance that the Bulls need to stay above, to carry on to the red channel top #D1.
Support & Resistance:
  • Index supports that the Bulls want to stay above, are the 5 EMA (8232) on the Week Chart #W1 and below that. 8171 the November Wall.
  • Bears look to keep the Index below the old EOD channel top (blue) failing which, the  EOD channel Top (red) #D1.. 
Moving Averages: 
  • Golden Cross (study herehere or elsewhere) of the 50 & 200 SMA is on - the MA's are currently converging #D1.
  • STS staying in the overbought, continues to work for the Bulls #W2.

Wrap :
Staying above the November Pivot #M1, and blue EOD channel top, Bulls aim for the red EOD channel resistance #D1.
Bears seek to remain in the game, by sending the Index below the blue EOD channel top #D1 and even slipping below the November Wall (study).