Today Nifty was in a consolidation mood. Nifty briefly consolidated within 108 (approx) points range throughout the day. The point where Nifty stands right now is very crucial. From 13th Dec to 17th Dec Nifty briefly consolidated within this range and gave a downward breakout. This breakout dragged the index all the way to its recent low near 16400. Nifty did give a close above 17200 level which was very crucial.
Points to Note:
1. Nifty has taken the support near 17174, the upward trend line is drawn from the very low of 16400 levels also coincides with the support (You can clearly see on the chart).
2. Support and Resistance level are indicated on the chart. For further upward move, Nifty has to give a close (on daily basis) above the downward trend line which is drawn from the recent high levels around 17650.
An important point to consider
Nifty has been making a "Bearish flag pattern" here and there. I have indicated all the flag patterns on the chart. The market is currently forming the same formation as it has formed earlier.
My Take:
Nifty has to give a close above the downward trend line (around 17300 levels) in order to open up forward upward moment. Failing to do so the Index will operate another cycle of profit booking.
THE ANALYSIS ARE MY THOUGHTS AND NOT A TRADING/ INVESTING RECOMMENDATION. PLEASE ACT WISELY AND CHECK ON YOUR OWN.
Points to Note:
1. Nifty has taken the support near 17174, the upward trend line is drawn from the very low of 16400 levels also coincides with the support (You can clearly see on the chart).
2. Support and Resistance level are indicated on the chart. For further upward move, Nifty has to give a close (on daily basis) above the downward trend line which is drawn from the recent high levels around 17650.
An important point to consider
Nifty has been making a "Bearish flag pattern" here and there. I have indicated all the flag patterns on the chart. The market is currently forming the same formation as it has formed earlier.
My Take:
Nifty has to give a close above the downward trend line (around 17300 levels) in order to open up forward upward moment. Failing to do so the Index will operate another cycle of profit booking.
THE ANALYSIS ARE MY THOUGHTS AND NOT A TRADING/ INVESTING RECOMMENDATION. PLEASE ACT WISELY AND CHECK ON YOUR OWN.