After the corrective move around end of April, the final leg of correction seems to have commenced in Nifty IT NSE:CNXIT.
IT stocks including large caps like TCS and Infosys witnessed heavy selling pressure today.
Looks to me that the selloff will continue and is the start of a corrective move in IT index before a fresh uptrend begins.
I can see that IT index ...
In daily, there was a long consolidation and BB squeeze. Now price closed at UC with very high volume, and BB has started expanding. also regular bullish divergence seen here.
with sl - 72, tgt - 150
In monthly, price took support at long term support , also trend line resistance broken here
in weekly, regular bullish divergence formed here. also price started pushing upper BB upwards with high volume
https://in.tradingview.com/x/AO9yPnc5/
with a sl - 133, 1st tgt - 193, 2nd tgt - 240 3rd tgt - 300
It is in long term uptrend.
In daily, it broke out of descending channel with good volume, also price closed above upper bb and bb is expanding and reversing .
https://in.tradingview.com/x/QqONYC0Q/
In weekly, hidden bullish divergence is seen. https://in.tradingview.com/x/NwfeomM8/
also price has reversed from horizontal support zone. ...
It is been observed that the price action is indicating a strong support at 600-630 levels, where good buying shall be seen. Therefore, now the price action shall reverse from the support zone to move forward to next resistance levels of 665-670.
Target: 665
Stoploss: 600
BANK NIFTY has consolidated @ 19500-20000 Range. With downward support @ 19000.
Upward Resistance @ 20000.
50 Day Moving Average Indicating Trend Reversal.
SHORT POSITION @ CURRENT LEVEL
TARGET @ 18500
SL @ 20200
