Today's big Black candle which engulfed the last 2 candles and closed at lowest level is showing the forthcoming weakness. It is also showing bearish divergence in the overbought Zone. One can short the stock at the level where Stop Loss of 1102 on closing basis is affordable to them.
Bearish Wolfe Wave formation on daily chart. It may make reverse either from current levels of from 332. Look for selling opportunity on bounce. View will negate above 340.50 And expected target is 270 - 265.
It seems that the upside momentum in nifty has got exhausted and may see a correction up to 8600 price levels for short term, one can see that nifty is forming a rising wedge kind of pattern which is a bearish pattern, whereas price action in other emerging market indices also seems to be bearish and experience a correction.
We hope everyone had a profitable week. Here is our view on Nifty weekly chart. In last two weeks, Nifty re-tested the strong resistance levels but failed to close above it which indicates the another rejection. Additionally, Nifty has also formed double top pattern which also indicates the price reversal. Moreover, RSI indicator is also showing...
Just found a bearish cypher pattern in bank nifty index, on daily chart. MACD shows signal line crossing over MACD line, indicating a downtrend and RSI is indicating that the bank stocks are over bought. 0.236 and 0.382 retracement levels will be 19788.54 and 19371.6 respectively.
Divergence are lucrative and effective method to trade, however many people find it difficult to use so I am giving important points one should keep in mind:
1. RSI divergence should be used when formed in overbought or oversold Zone. Others may be used in combination with other studies but NO trade solely based on it.
2. Since we are handling here the situation...