CNX Nifty 50 - Triple Screen 'Technical Analysis' - Pin Drops - Week 1 of June 2015.

 

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

 

Patterns:

• Index, after triggering a long term Three Outside Down earlier - produces a Bullish Harami with the last two candles #M1.
• Week Chart sees a Pinbar as part of a Bearish Harami - see last two candles #W1.

Support & Resistance:

• Index closes 10 points above the 38.2% Fibonacci retrace (8424) 'of the May 2015 low to the ATH'  #D1  and at the daily 50 SMA #D1.
• Earlier in the week, the weekly 50 SMA #W1, was approached and the congestion area having the daily 5 EMA, 13 SMA and 200 SMA, overcome #D1.

Moving Averages: 

• The critical 5 EMA and 13 SMA on the Monthly charts, gets closer for a Bullish deflection or a Bearish cross #W1.

Indicators:

• MACD and its MA stay below the zero line and its Histogram stays above this line #D2.

Wrap:

Bulls after a deep dive below the 38.2% of the move from the 'ATH to the May 2015 bottom' manage to close just above this line #D1.

Bears defend the daily 50 SMA #D1 and halt the index, near the blue middle line of the new Day Channel #D1..

Looking Forward into this Week:

Patterns:

• A Bullish Harami (Study Links here, here or elsewhere) #M1 is active on the long term chart. A Bearish Harami (Study Links here, here or elsewhere) #W1 is active on the medium term chart. Watch for the Three inside 'up or down' forming next.
• A Pinbar (Study Links here, here or elsewhere) #W1 is apparent on the weekly chart.
• The Fibonacci retrace from the ATH to the May 2015 bottom and its retrace possibilities are worth a study (Study Links here, here or elsewhere).

Support & Resistance:

• Bulls face resistance at the 61.8% Fibonacci retrace (8686) 'of the May 2015 low to the ATH'  #D1  Support is available, at the Day Channel's bottom line #D1 and the 76.4% Fibonacci retrace (8040) 'of the 2011 low to the ATH'  #W1 

Moving Averages: 

• Golden Cross (study here, here or elsewhere) of the 50 & 200 SMA is on - these MA's are currently converging #D1.
• The 5 EMA and 13 SMA on the Medium Term charts would cross Bullishly with a weekly close above 8606 #W1.

Indicators:

• Bulls hope that the TRD would rise from support at the 50% mark this month #M2.

Wrap :

Bulls look to stay above the 38.2% Fibonacci retrace (8424) 'of the May 2015 low to the ATH' and close above 8606 #D1 .

Bears, holding the Daily 50 SMA seek to get to below the 76.8% Fibonacci retrace (8040)  as marked #W1.