Nifty: Are We Nearing Top ?

> Looking at the above chart it seems we are nearing a top, may be an intermediate top.

> Index has been in a strong uptrend inside a channel.

> It seems the a gramophone pattern is in the making and currently its the last leg of the pattern. This leg may face strong resistance at the
ends of the uptrend channel.

> Can't say about the exact levels but if we cross 10129, perhaps 10300 to 10700 could offer substantial hindrance to the uptrend.

> The break below the Gramophone base would offer a strong signal of an intermediate top in place. Let me say that in that case 9000 levels
could also be hit.

> Looking at the trend cycles, if a new high is formed, we might see a strong rejection from the highs near mid October.

> Let's enjoy the upmove as long as it offers profits.

Trade safe, stay healthy.
Hit like if this information is useful.

Regards
Bravetotrade

Comment:

Comment:

When I wrote this post, the index was trading above 10000 mark. A topping pattern was anticipated and the base of the pattern was broken on 25/9 when it closed at 9872.

There was a clear breakdown confirmation below 9813 and the index slipped to 9687, a 125 pt. move.

Currently, it took support near 100 DEMA and retraced.

The Friday's move closed weak but further pullbacks can not be ruled out. Fresh shorts should only be initiated if there are signs of weakness near the 50% or 61.8% retracement levels, shown in snapshot.

Another scenario could be that --

The pullback ended at 9854 as the bulls are already weak (weak closing). In this case a swift break below 9685 would attract fresh shorts. This will be a very bearish scenario.

# Currently I am not considering counter trend trades or reversals.
# The the levels marked in the snapshot are carefully determined KEY support
zones which may be helpful for future price action trades.

Comment:

I ll be extra careful at current levels..9990 or so.