29th Sep ’23 - Convincing Reversal and... - PostMortem on Nifty
Nifty Analysis
We are beginning a new weekly, monthly and quarterly (Q3 2023-24) series today. Yesterday’s close = 19523.
Recap from yesterday: “On the 1hr TF, Nifty is still looking weak. The next target should be 19446 followed by 19310 if are continuing the downward move. In case we reverse and move up, the first level to watch will be 19776. I wish to change my stance from neutral to bearish for tomorrow.”
My bearish view was thrown into the dustbin today by Nifty50. We opened gap up and then started rallying very strongly. We hit the high of 19726 by 14.30 and then had a sharp correction. We went up 174pts and then gave away 107pts in last 1hr.
To go bullish, the level marked was 19766 - but a closing near the 19700 values would have prompted me to change the stance to neutral. As per the chart the fall of 107pts still gives Nifty a bearish sentiment.
On the 1hr chart I just drew the sloping orange line - this is connecting yesterday’s and today’s top. Notice the blue encircled region - those are the hourly candles for yesterday - all RED. Till 14.00 I was wondering how could we even have such a strong reversal today - won't that negate the move made yesterday?
My stance still remains bearish with the first downside target of 19446. The moment we break 19776 on the upside - I wish to exit the short stance and go long.
We are beginning a new weekly, monthly and quarterly (Q3 2023-24) series today. Yesterday’s close = 19523.
Recap from yesterday: “On the 1hr TF, Nifty is still looking weak. The next target should be 19446 followed by 19310 if are continuing the downward move. In case we reverse and move up, the first level to watch will be 19776. I wish to change my stance from neutral to bearish for tomorrow.”
My bearish view was thrown into the dustbin today by Nifty50. We opened gap up and then started rallying very strongly. We hit the high of 19726 by 14.30 and then had a sharp correction. We went up 174pts and then gave away 107pts in last 1hr.
To go bullish, the level marked was 19766 - but a closing near the 19700 values would have prompted me to change the stance to neutral. As per the chart the fall of 107pts still gives Nifty a bearish sentiment.
On the 1hr chart I just drew the sloping orange line - this is connecting yesterday’s and today’s top. Notice the blue encircled region - those are the hourly candles for yesterday - all RED. Till 14.00 I was wondering how could we even have such a strong reversal today - won't that negate the move made yesterday?
My stance still remains bearish with the first downside target of 19446. The moment we break 19776 on the upside - I wish to exit the short stance and go long.
