Nifty Point & Figure Analysis: Longs to breathe some!!

Longs to breathe some!!

Date: 8th Dec 2014

Nifty last closing price: 8438.25

Daily chart

Figure 1 is 10 box value chart plotted with daily closing prices. Triple Top pattern that we discussed during earlier write ups worked well. Overall setup is certainly bullish and trading above bullish trend line. But Double bottom signal generated yesterday calls for exit to Longs. The formation is also called Relative High that means High of 'X' marked below upper Bollinger band. Longs need to wait for Mini bottom to be formed from here.

1 Min Chart

Figure 3 is 5 box value chart plotted with closing prices of every minute. Trend has turned bearish on this time frame. Short term traders should trade the Double bottoms unless it trades above Bearish line. Support and counts suggest possibility of 8380 - 8350 levels. 

  

Figure 1: Nifty daily 10 x 3 cl Point and Figure Chart Figure 2: Nifty 1 min 5 x 3 cl Point and Figure Chart

 -  Prashant Shah, CMT, CFTe

Disclaimer:
All information provided above is for general information purposes only and does not constitute any investment advice. Company or Author shall not be liable for loss or damage that may arise from use of information provided above. The report is purely for information purposes and does not construe to be investment recommendation/advice or an offer or solicitation of an offer to buy/sell any securities. The readers of this material should take their own professional advice before acting on this information.