Bank Nifty - Head & Shoulder Target = Historical Resistance

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WaveTalks - Market Whispers: Can you hear them?

• The last H&S pattern unfolded as expected.
  
• Analysts measure it by the vertical distance from the head's top to the neckline (shown in red vertical line)
  
• This measurement is then projected downwards from the neckline break ( shown as orange line)
  
• The resulting target aligned with historical resistance at 46250-46375, as updated on the last idea making of the right shoulder
  

Day Low - 46212.95 ( 2:05 pm / 17th Jan 2024)

Regarding the concept of historical resistance and support changing roles:

• The historical resistance at 46250-46375 might now act as support for the index.
  
• If this happens, it could provide some relief to bulls.
  
• However, whether this will occur can only be confirmed over time.
  
  

This method is a one of the traditional way of setting targets in technical analysis. Have a great day!

Comment:

1:13 pm / 19th Jan 2024

Last @ 45899

Very Important Support Zone 45875-45925 - Index holding above the support zone could push to day high of 46250's & holding above 46250's it can extend towards 47000. Have a great weekend

Avoid holding long positions below 45875

Comment:

1:35 pm / 19th Jan 2024

Last @ 45760

Suggested ------------no buying below 45875 ........& Index slipped to 45661 - which is a intraday move so if you got the trade ------enjoy & plan next trades carefully

Trade closed manually:

2:49 pm / 19th Jan 2024

Last @ 45720

One hour back at 1:13 pm
We suggested buying in the 45875-45925 range, an important support zone. We also cautioned against buying below 45875. It seems the Index took note, quickly dropping 200 points to 45661.

What to expect next? We're potentially observing a bearish harmonic bat pattern, aiming for approximately 47000 – a key psychological level.

Important:

Avoid trading below the 45550 - 45600 zone. Maintain strict stop losses below 45550. Falling under 45500 could signal a more extended downside, the move which started from the highs of 48305 on 16th Jan 2024.

Happy Weekend.

Comment:

2:58 pm / 19th Jan 2024

Last @ 45699

Have patience in buying close to 45550-45600 & above & no buying below 45550-45600 as suggested