NIFTY DAILY CHARTS
ascending broadening wedge pattern updated
nifty may face res at upper blue T/L which is moving up by approx 9 pts per day
from 7809 to 8180(upmove of 371 pts in 41 sessions)
from 8180 on 8th sep to 28th nov nifty had taken 52 sessions
8180+(52X9=468)=8648
on friday 28th nov as per calculation upper blue T/L res was near 8648
and next week for five trading days upper range will move up by 5X9pt=45 pts
8648+45=8693 may be upper(resistance) levels for next week
first indication of bearishness will be break below pink lines
range is contracting b/w upper blue T/L and lower pink lines
will it give a B/O on tuesday 2nd dec(much awaited RBI monetary policy)
or nifty will keep itself within the contracting range for next week and then may decide the course from week starting 8th dec
support of upsloping pink T/L as per siple mathematical calculation is
support is moving up by by near 28.6 pts per day
T/L supp was at 8456 on 27th nov( 8429 were lows prev day 26 nov ..diff of 27pts)
support of T/L was near 8456 +28=8484 on friday 28th nov
will be near 8484+28=8512 on monday
and 8512+28=8540 on tuesday ...........D Day
For downward breakouts, use the lowest valley in the pattern as the target.(7422)
For upward breakouts, compute the difference between the highest peak (probably near 8660-90 range) and lowest valley (7422) in the pattern to get the height. Multiply the height by the “percentage meeting price target”(i.e 69%) and add it to the breakout price ( 8660) to get the price target of 9500.
Posts
