nifty has formed Double bottom on daily chart and rsi is increasing both on daily and 1 hr charts.
however RSI on down ward slope from over bought zone and also the closure is below 50 sma, but above 200 sma giving a mixed signal.
nifty hit the crucial resistance level of 18000 and closed back to 17950, with 17946-17940 forming a minor support and then 200 sma forming a major support. nifty is presently at support level of 17940-17950
in case of most likely gap down opening, 200 sma should form a support level and if 200 sma is broken at gap down, then on retest PE trade could be taken with sl above 200 sma. in case of flat opening and gap up opening wait for levels to cross 18020 for target of 18088 with SL at 18000.
in case 18000 is not crossed, can look again at PE trade with SL @18005 for target of 17940/17882-17874.
the market sentiment is still -ve and sell on rise should be the way forward for tommorrow. (16/1/23). Also note that there are 2 potential events that could change the above (fed speach on 13/1 and WPI india data 16/1)
however RSI on down ward slope from over bought zone and also the closure is below 50 sma, but above 200 sma giving a mixed signal.
nifty hit the crucial resistance level of 18000 and closed back to 17950, with 17946-17940 forming a minor support and then 200 sma forming a major support. nifty is presently at support level of 17940-17950
in case of most likely gap down opening, 200 sma should form a support level and if 200 sma is broken at gap down, then on retest PE trade could be taken with sl above 200 sma. in case of flat opening and gap up opening wait for levels to cross 18020 for target of 18088 with SL at 18000.
in case 18000 is not crossed, can look again at PE trade with SL @18005 for target of 17940/17882-17874.
the market sentiment is still -ve and sell on rise should be the way forward for tommorrow. (16/1/23). Also note that there are 2 potential events that could change the above (fed speach on 13/1 and WPI india data 16/1)