Monday, March 23, 2015

CNX Nifty 50 - Triple Screen 'Technical Analysis' - Hi 5 - Week 4 of March 2015.

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

  • Previous week's Evening Star gives the Bears one more red candle #W1- Index says Hi to the Long Term 5 EMA with a touch and bounce #M1.
  • Bulls see their long term 'Three Outside Up' (last 4 candles) #M1. threatened by a potential Bearish engulfing (last 2 candles) #M1.
Support & Resistance:
  • 5 EMA on the EOM (8555) #M1, was the exact support last week.
  • 5 EMA on the EOW (8777) #W1, was the clear resistance last week.
Moving Averages: 
  • The critical 5 EMA and 13 SMA on the EOW, poised to cross bearishly or deflect bullishly #W1.
  • STS slips below the over bought line #W2.

Bears after defending the Weekly Channel top and following it up with an 'Evening star' - make a red week and close below the wall #W1.
Bulls take support on the Long Term 5 EMA #M1.

Looking Forward into this Week:

  • Previous week's Evening Star on the Medium Term Screen (Study Links herehere or elsewhere) is active #W1.
  • Long Term Charts, see the Three Outside Up (Study Links herehere or elsewhere) threatened by a possible Bearish Engulfing (last 2 candles) #M1.
Support & Resistance:
  • Index resistances that the Bulls would want to get above this week, are 8684 (Wall for March 2015 and 8618.
  • Support Levels that the Bears want to get below, are S2 on the March Pivot #M1 and 8555 (5 EMA on the Monthly Charts).
Moving Averages: 
  • Golden Cross (study herehere or elsewhere) of the 50 & 200 SMA is on - these MA's are currently flat #D1.
  • The critical 5 EMA and 13 SMA on the EOW, poised to cross bearishly or deflect bullishly - below or above 8618, respectively #W1.
  • Bulls would want the STS, moving back above the overbought line, to demonstrate their domination of the Medium and Long Term Screens #W2.

Wrap :
Bulls look to support on the 5 EMA and the '3 outside up' #M1 on the Monthly charts, to get back above the Wall
Bears depend on the medium term Channel top resistance, and the 'Evening Doji Star', to stay below the Wall #W1.