NIFTY could be in the process of making a bearish butterfly. The ratio based traders may find the pattern interesting. The completion of the pattern requires confirmation at three critical price ranges as mentioned in the chart. If the pattern comes to fruition the index may test 9640-9660 levels and may go down to 9360-9330 levels and then go on to 10130-10170...
Key levels identified by me for next few NIFTY trade setup.
a. Long level at 8938.7 marked with green with target level at 9253 marked with red
b. Short at red level with a target of 9128 marked with blue
c. Long at 9128 marked with blue with target of 9299 marked with blue
d. Short at 9299 level marked with blue with target of 8724 marked with yellow
As from 2003 onward, all lifetime highs have been crossed with nifty RSI being in range of 73-80 and such strength is showcased for atleast a week , in order for nifty to cross 12000 RSI needs to go above 75 while it is still 65 and looks weak, fundamentals are below average, rural consumption slowdown, Auto slowdown, Lending slowdown, NBFC stricer regulation, oil...
i) The highest possible scenario being Gap up around or just above channel then coming down in range
ii) if it all it breaks the channel & participants interested in ending Nifty above 9500's we will be closing around 9560's
I'm on run now, have few tasks scheduled on priority, so please adjust with short description :)