NIFTY FORMING A FAILED FLAG PATTERN? PART-2 (INDEX UPDATE)

-AS PER CONDITION NIFTY NEVER CLOSED BELOW 14200 AND ITS 100-EMA AND IT BOUNCED BACK
-AFTER A BREAK IN THE LOWER HIGH AND LOWER FORMATION WAS SEEN IN CLOSING BASIS LONG POSITIONS WERE AVAILABLE
-EXPLAIN IT CLEARLY ABOVE 14700 WE SHALL SEE SHORT COVERING
-EXECUTED LONGS WHEN INDEX FUTURES CLOSED ABOVE 14640
-NOW WE HAVE ALMOST AGAIN REACHED THE TOP OF THE BULLISH FLAG

"QUESTION IS WILL WE BREAK ABOVE THE FLAG PATTERN"

IMPORTANT VIEWS
-TRADITIONALLY MONTH OF MAY HAS BEEN A MONTH OF CORRECTION
-BUT A BREAK CAN TECHNICALLY NOT BE RULED OUT
-GO BY THE NIFTY EXPIRY CLOSE A BREAK BELOW EXPIRY LOW CAN CAUSE TROUBLE
-RIGHT NOW WE HAVE BROKEN A CRUCIAL SUPPLY ZONE OF 14787-14849
-SO TECHNICALLY SPEAKING THURSDAY LOW BECOMES CRUCIAL FOR THE MARKET
-NOW IF WE CLOSE BELOW THE LOW OF EXPIRY THEN WE CAN ASSUME A CORRECTION
-SO THE LEVELS OF 14640-14434-14240 BECOMES A POSSIBLITY
-ANOTHER LOW WILL BE MADE AND A RETEST OF 13700-13800 IS POSSIBLE AS THE CHANNEL WILL EXTEND ON THE DOWNSIDE

"MUST OBSERVATION AND THINGS TO WATCH OUT"
-NIFTY HAS BROKEN FROM A FALLING WEDGE PATTERN
-WHICH EXIST INSIDE A BULLISH FLAG THAT IS GOOD NEWS
-BENGAL EXIT POLL RESULTS WILL HAVE MINOR IMPACT
-COVID-19 NEWS NOW IS CLEARLY BEING ABSORB BY THE MARKET
-IF NIFTY ON FRIDAY CLOSES BELOW 14800 THEN WE WILL HAVE SOMETHING CALLED AS "EVENING STAR FORMATION"
-IT IS A THREE CANDLESTICK PATTERN FORMATION WHICH IS EXTREMELY NEGATIVE
-SO AN EVENING STAR CANDLESTICK PATTERN WILL CONFIRM THE DOWNMOVE
-WE NEED A CLOSE BELOW 14800 FOR THAT VIEW IF DOES NOT THEN THE VIEW IS NEGATED

"THINGS TO WATCH OUT FOR"
-A CLOSE ABOVE 15100 IS THE ENDGAME FOR BEARS
-WE CAN SEE EXTENSIVE SHORT-COVERING
-WHICH CAN LEAD TO RETEST OF PREVIOUS HIGH

"NIFTY FORCAST AND PREDICTION"

1)BULLS
-WATCH OUT FOR A CLOSE ABOVE 15100
-MOMENTUM WILL BE SO STRONG OF SHORT-COVERING THAT YOU WILL CROSS ABOVE 15200-300 SAME DAY
-DOES NOT MATTER STAY LONG UPSIDE TARGET WILL BE REVISED

2)BEARS
-A CLOSE BELOW 14800 CAN ON FRIDAY CAN LEAD TO EVENING STAR FORMATION
-RETEST OF PREVIOUS LOWS ARE THEN POSSIBLE
-NEW LOW IS ALSO POSSIBLE AS THE CHANNEL CAN EXTEND ON THE DOWNSIDE

NOTE:-
-THIS IS A EDUCATIONAL NOTE
-SHARING VIEW OF THE INDEX
-IT IS FOR LEARNING PURPOSE AND FOR THOSE TRADERS AND ANALYST WHO ARE WATCHING AND LEARNING FRESH BREAKOUT

"WILL BE POSTING LIVE BREAKOUT AND UPDATES AND VIEW"
"LEARN AND UNDERSTAND MARKET PRICE ACTION"

Comment:

UPDATE:-
-MAKRET IS ABSORBING COVID NUMBERS
-MORNING GAP DOWN FOR BROUGHT INTO
-NEW SINGLE DAY RECORD CASES ALSO OUT AND MARKET IS TAKING IT IN
-STILL WAITING FOR A CLOSE ABOVE 15100 FOR POSITIONAL LONGS
-OR WILL NIFTY CLOSE BELOW AND FORM OUR EVENING STAR PATTERN ?

Comment:

-FIGHT IS ON WILL NIFTY DEFEND FUTURES LOW OF 14755 OF MORNING
-IF NOT THEN 14715-14685 CAN BE TESTES

Comment:

ADVANCE LEVES WERE SHARED
LEARN AND TRADE

Comment:

NIFTY LEVELS WERE REACHED IN FUTURES
NOW HOLD SHORTS ALREADY WILL ADD MORE AT HIGHER LEVELS

Comment:

-AS EXEPCTED CORRECTION AFTER CONFIRMATION
-EVENSTAR PATTERN WAS CONFIRMED AND WE SAW BREAK DOWN
-OUR EXPECTED TARGETS WERE 14430-14240-14000 INITIALLY
-AFTER A BREAK BELOW 14200 ON CLOSING BASES WE WOULD HAVE DOUBLED OTY
"BE FEARFUL WHEN OTHERS ARE GREEDY"
"BE GREEDY WHEN OTHERS ARE FEARFUL"
-WE HAVE BOOKED OUR INITIAL PROFITS
-SHORTS WERE ENTERED HIGHER@14775
-EXIT OCCURED NEAR 14495

Comment:

-NOW TRACKING NIFTY
-USUALLY AFTER BIG FALL IN NIFTY AFTER POLITICAL EVENT MARKET MAKES A BOTTOM
-IT REMAINS TO BE SEEN
-NIFTY SUPPORT COMES IN@14430-14240
-AN INTRADAY UPMOVE CANNOT BE RULED OUT

Comment:

NIFTY GOT REJECTED TWINCE FROM THE SUPPORT-TURNED-RESISTANCE ZONE OF 14640-14660
NIFTY TESTED ITS PREVIOUS DAY LOW AND SLAPPED 80 POINTS
NOW IT REMAINS TO BE SEEN WHETHER WE CLOSE ABOVE 14650 OR NOT
THAT WILL LEAD TO SHORT-COVERING

Comment:

WATCH AND LEARN THE IMPACT OF PRICE ACTION
THOSE WHO WERE ADDING SHORTS FROM MORNING WILL BE LOOKING TO COVER
THIS IS CALLED SHORT-COVERING
PROPELING INDEX HIGHER
SENTIMENT READING IS IMPORTANT INDEX ABSORBED THE NEWS AND MOVING NOW

Comment:

NEW UPDATE
-AGAIN IN THE BULLISH FLAG PATTERN WE SEE ATTEMTS FOR BREAKOUT
-A CLOSE ABOVE 15030 WILL BE ENOUGH SIGNAL TO POINT OUT MOVE
-EXPECT BREAKOUT RALLY IS ALMOST 800-1300 POINTS ON THE UPSIDE
-YES 16000 IS NOT RULED OUT IF INDEX NOW CROSSES ABOVE 15030 AND CLOSES

Comment:

-nifty looking for a breakout close to near the top of the flag pattern on daily charts
-once taken out then we will see breakout of new 600/900 points on the upside
-a close above the pattern is required
FOR INTRADAY
-a move above 15045 in futures will lead to 15130/15250

Comment:

NIFTY SPOT TESTED PREVIOUS RESISTANCE LEVEL SAME FOR FUTURES AS WELL
INDEX SAW ALGO SELLING PRESSURE AND IT WAS MATCHED BY BUYING THE DIPS
ALL INTRADAY ATTEMPTS HAVE FAILED TO PULL MARKET DOWN
THERE IS A HUGE POSSIBLITY MARKET MAY RALLY IN LAST HOURS DUE TO SHORT COVERING OR CAN TAKE OUT RESISTANCE BY GAP-UP AND COZ SHORT-COVERING
TRACK AND LEARN