India - CNX Nifty 50 - Triple Screen 'Technical Analysis' - Morning Star ? - Week 4 of January 2016.

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

Patterns:

• Inverted Hammer of the previous week, is followed by a long legged doji, which also gaps down #W1.
• Bears again use the 'Three White Soldiers pattern to good effect #W1.

Support & Resistance:

• Index closed at S2 of the Month pivot. Resistance was at the daily 5 EMA #D1. Index came back from below the support at 7367, the '61.8% retrace of the 2010 low to the ATH' #W1.

Moving Averages: 

• The critical 5 EMA and 13 SMA, stay deflected bearishly on all three Charts..

Indicators:

• On the week charts the STS #W1, is deep in the over sold zone.

Wrap:

Bulls finally manage to rise above the daily 5 EMA #D1.
Earlier the Bears touched 7367, with an active 'Three White Soldiers' pattern in play #/W1.

Looking Forward into this Week:

Patterns:

• 'Three White Soilders' pattern (Study Links here, here or elsewhere) is active on the Medium Term Chart #W1.
• The Last candle on the week chart is a Long Legged Doji (Study Links here, here or elsewhere) whose body shows a clear gap down #W1. 
• Possibility of a Morning Star Pattern (Study Links here, here or elsewhere) forming exists #W1.

Support & Resistance:

• Index has immediate resistance at 7494 the 76.4% retrace of the 2008 low to the ATH #M1 and then at the Weekly Channel bottom #W1.
• Support is S2 of the Month pivot and  later at the Daily Channel bottom #D1.

Moving Averages: 

• The Death Cross (50 and 200 SMA) is active D1.

Indicators:

• The MACD is below the zero line #D2.

Wrap :

Bulls pray for a pullback to Week Channel Bottom #W1.

Bears eye life around the day channel bottom #D1.