Nifty P&F analysis: Give it time!!

Give it time!!

Date: 22nd March 2015

 

Nifty last closing price: 8570.90

 

 

Daily chart

Figure 1 is 10 box P&F chart plotted with daily closing prices. Pattern is bearish at the moment being Double bottom sell continuation signal occurred after High Pole and Relative High. Bearish counts of 8410 and 8120 are active. As shown in the chart, price has come to 10 column lower Bollinger Band. A, B and C are instances shown in the chart of where price has taken support at lower band in this uptrend. Levels also coincide with the support placed at previous peak. It needs to be seen if price take support here though looking at the formation I doubt if it will make an important bottom here. Close above 8645 will form Low Pole and make chart neutral from bearish. Long signal will be triggered if price closes above 8730.   

 

 

1 Min Chart

Figure 2 is 5 box P&F chart plotted with closing prices of every minute. Bearish count of 8560 has been achieved.  Chart is bearish at the moment and lower counts are active. Recent price move within tight band that occurs at support area of higher degree chart indicate possibility of some sort of bounce. 8690 - 8720 are Anchor Point resistance area if price moves up from here. Trend and pattern at the moment are bearish.

 

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.