NIFTY PRIMARY UP-TREND LOOKS INTACT
NIFTY 50: corrected about 12% from Sep 2024 high. The primary uptrend still looks intact. Pl. check the chart – weekly-scale. A few points on the trend:
- 100-week MA has not been breached since July, 2020 when price rallied above it after Covid Low.
- The uptrend-line, from 2020 low looks to hold the support still.
- RSI has not breached the bull support zone (green line in bottom window), after 2020 low. After the uptrend started, momentum (RSI) took support on the green line 3 times (the pink arrows). RSI is coming closer to the support line again.
- The current price-volume structure looks like a zig-zag correction that can potentially reach around 21,800 level.
- Also, the uptrend line and the 100-week MA are near that level, indicating a confluence support zone, about 22600 to 21,800; that’s about 6% down from current level.
- Total 18% correction from Sep, 2024 high also coincides with the prior correction between Oct, 2021 and June, 2022, when it corrected 18%.
Personally, till 21,800 level is concretely breached, I am inclined on the bullish side.
DISCLAIMER: This publication is purely a personal analysis and is meant to be for educational purposes. It is not intended to be any advice, suggestion, or inducement to buy, sell, or hold any stock, or any other financial instrument. Please conduct your own research and consult your financial advisor for any decision to buy, sell, hold, or otherwise deal with financial instruments, as they are prone to substantial financial risks.
- 100-week MA has not been breached since July, 2020 when price rallied above it after Covid Low.
- The uptrend-line, from 2020 low looks to hold the support still.
- RSI has not breached the bull support zone (green line in bottom window), after 2020 low. After the uptrend started, momentum (RSI) took support on the green line 3 times (the pink arrows). RSI is coming closer to the support line again.
- The current price-volume structure looks like a zig-zag correction that can potentially reach around 21,800 level.
- Also, the uptrend line and the 100-week MA are near that level, indicating a confluence support zone, about 22600 to 21,800; that’s about 6% down from current level.
- Total 18% correction from Sep, 2024 high also coincides with the prior correction between Oct, 2021 and June, 2022, when it corrected 18%.
Personally, till 21,800 level is concretely breached, I am inclined on the bullish side.
DISCLAIMER: This publication is purely a personal analysis and is meant to be for educational purposes. It is not intended to be any advice, suggestion, or inducement to buy, sell, or hold any stock, or any other financial instrument. Please conduct your own research and consult your financial advisor for any decision to buy, sell, hold, or otherwise deal with financial instruments, as they are prone to substantial financial risks.
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