Nifty Point & Figure analysis: Catapult a morning star?

Catapult a morning star?

Date: 28th Dec 2014

Nifty last closing price: 8200.70

Daily chart

Figure 1 is 10 box value chart plotted with daily closing prices. Daily chart is still in the non trading zone. Double top buy from here will form Mini bottom and trigger fresh buy that will also trail up the trend line. Level to trigger the signal is at 8330 at the moment.

1 Min Chart

Figure 3 is 5 box value chart plotted with closing prices of every minute. Trend has turned up on this time frame due to formation of Bullish catapult that took prices above bearish trend line. Bullish catapult occurs when Triple top is followed by Double top buy pattern which is considered as a strong buy signal. Counts up to 8250 are active for short term traders. Formation will get negated below 8170.

Though strength will be gained if this catapult results in negating the down counts and trendline formed around 8300 levels that will also turn daily charts to positive.  

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. 

Nifty P&F analysis - Non trading zone!!

Non trading zone!!

Date: 23rd Dec 2014

Nifty last closing price: 8267

Daily chart

Figure 1 is 10 box value chart plotted with daily closing prices. Low pole has been formed above trend line which is a bullish pattern. But this is not the signal to trade. Positional traders need to wait for next basic signal to be formed and avoid trading till then. It is very important for a trader to know when not to trade. Charts indicate non trading zone.

1 Min Chart

Figure 3 is 5 box value chart plotted with closing prices of every minute. Retracement to down leg has happened. Recent Triple top buy signal has been negated and a sell signal is triggered that opens count of 8075 for short term traders. This count will be negated if Nifty trades above 8300.

There are opportunities for short term traders but trend on all time frames is not the same. Sometimes it is important for a trader to stay away and wait for a favorable setup to be developed. Merry Christmas to all!!

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. 

Nifty Point & Figure analysis: Bounce or Bottom? Here to stay some!!

Bounce or Bottom? Here to stay some!!

Date: 18th Dec 2014

Nifty last closing price: 8159.30

Daily chart

Figure 1 is 10 box value chart plotted with daily closing prices. Double bottom sell signal after Relative high helped to ask longs to exit as discussed in the last write  up. Such long streak of Os can shake bulls. Trend is still above bullish trend line hence still up on daily time frames. Positional traders need to wait for fresh setup. Either continuation sell signal or Mini bottom from here.  

1 Min Chart

Figure 3 is 5 box value chart plotted with closing prices of every minute. Trend turned bullish now. Triple Top Buy occurred above 8040 on day before followed by bullish trend line has changed the trend. Mini bottom formed at 8090 has made the stop closer for short term traders. Counts of 8270+ are open.

Figure 1: Nifty dly 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.

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.

Nifty P&F analysis: 'X' dominating - Ride the trend!!

'X' dominating - Ride the trend!!

Date: 2nd Nov 2014

Nifty last closing price: 8322.20

Daily chart

Figure 1 is 10 box value chart plotted with daily closing prices. Uptrend discussed during last write up worked well and it proved a fruitful week for the one who took opportunity during correction earlier in the week. Trend remains up and 'X' is dominating.

1 Min Chart

Figure 3 is 5 box value chart plotted with closing prices of every minute. Trend is bullish on lower time frames also. Right side of the chart at the moment is a bookish uptrend and it must have been a wonderful experience for price followers. Remain long and ride the trend.

  

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.

Nifty P&F analysis: 'X' on all time frames!!

'X' on all time frames!!

Date: 26th Oct 2014

Nifty last closing price: 8014.55

Daily chart

Figure 1 is 10 box value chart plotted with daily closing prices. Trend has been up on daily time frame and now gained strength with Triple Top Buy along with Bear Trap signal occurring above 45 degree trend line on the same column. New Mini-Bottom is formed at 7750. Chart is bullish and every correction is opportunity to trade long unless it goes below trend line drawn from recent bottom of 7750.

1 Min Chart

Figure 3 is 5 box value chart plotted with closing prices of every minute. Triple Top buy signal discussed during last week worked well and 7890 was beaten. Price generated some whipsaws after achieving the same and witnessed broadening formation. But it was again broken up and formed Triple Top again which achieved the target in the same column. Price has turned bullish on lower time frames also and should remain the same till it maintains 7910.  

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

Figure 3: Nifty 1 min 10 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.

Nifty P&F analysis: Range bound likely!!

Range bound likely!!

Date: 19th Oct 2014

Nifty last closing price: 7779.70

7925 worked well and price faced supply at that level to fall again and achieve the active counts near 7700.

Figure 1 is 10 box value chart plotted with daily closing prices. Trend is still up on this time frame being still above trend line but lower counts are active. Current signal is to avoid trades on this time frame.

Figure 3 is 5 box value chart plotted with closing prices of every minute and Figure 4 magnifies recent activity of same chart.  Price did not trade above 7925 and went down to achieve the counts near 7700 activated on various time frames. Trend is still down on lower time frames and trading below trend line but Triple Top buy signal and bear trap formed recently has activated count of 7890. There is a possibility of achievement this count provided price do not go below 7750. Going below 7750 will turn it all to bearish again and new lows of 7630 or less will become possible. 

 

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

Figure 3: 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.