NIFTY is trading in a falling channel as we could observe from the chart. Immediate support lies at 11615. Fibonacci extension (1.618) of previous upswing between 11769.5 and 12000 (as marked in chart) falls at 11626 which more or less comes in at same level.
Technically, even though we could see patterns like Head & Shoulder and Rising Wedge whose targets run...
Monday nifty could give a pullback to 11900 and then push down to 11732. as we know 12000 is a strong supply zone. If 11900 closing up then we will see more consolidation between 12000-12050 to 11771 in this upcoming week.
Monday market could open gap up to 11956 if sustains that level then move up till 12150. Also 12000 is a strong supply zone if it breaks below 11900 then it can create a perfect AB=CD pattern donwn to 11616.
Rising Wedge pattern observed in NIFTY. Pattern looks to have confirmed suggesting a bearish outlook. Target depth of wedge is around 420 points. With confirmation of pattern occurring at 11950, Target of the pattern comes in at 11530. Though, a retracement towards the pattern cannot be ruled out. Also be aware that 11616 could offer a good support.
The latest correction (in last week of April & first week of May) has got some significance from a pure technical analysis perspective. Weekly chart is being considered for analysis.
OBSERVATION 1: For the third time if not more, we could see Nifty appears to have peculiar price action on its second attempt to break life time high. Each time in the previous two...
NIFTY will trade lower today as the trade war between the US and China intensifies and we will see a possible retracement back to 11600 or below trade accordingly. Go Shorts on Pull back. Longs if the trend holds.