Weekly Technical Analysis: NSE Nifty Part -I

By | December 9, 2012

After such an stupendous rise consolidation will be the name of game for the coming week, This is what we discussed last week analysis and Nifty made minor gains of 27 points in last week trading.

Industrial production on 12 Dec and wholesale price inflation numbers on 14 Dec would be seen with close eyes as these number will give Hint of RBI rate cut decision in December credit policy meet. Government’s ability to pass at least few of the pending bills on economic reforms in the ongoing parliamentary session and the response to the IPOs will also set the tone for trading in the week ahead.

 

Lets discuss Nifty Trading Strategy for December Month.

 

 Nifty Hourly Chart

I have discussed the importance of 50 HMSA many times and see how beautifully it gave support to Nifty on both Thursday and Friday. 5885 is the number to be watched for Monday.

 

Nifty Gaps

For Nifty traders who follow gap trading there are  6  trade gaps in the range of  5077-5900.

  • 5043-5077
  • 5238-5309
  • 5303-5309
  • 5399-5415
  • 5435-5526
  • 5635-5658
  • 5666-5651
  • 5727-5736
  • 5825-5827

So these levels should be noted down carefully by Nifty trader to find further Nifty support and resistance.

 

 

 

 

Nifty Daily Chart

Finally the double bottom showed it effect from 5548 to 5949.Also trendline support at 5540 showed its true color with Nifty giving an aggressive breakout and rallying 250 points .Now 5950-80 is the zone of resistance as shown in below charts.

As per trend line analysis Nifty is regularly taking support at rising trendline from low of 4770. Till the trendline does not get broken nifty can continue its upward journey (as we have discussed last week) ans same held true.

 

 

 

Nifty Daily Chart with Indicators

Trend line resistance has come up and unable to break 5950 next week in NS will invite correction in Nifty.Negative divergence are coming in both daily and weekly charts so trade with caution on long side.

 

Continue Reading for Weekly Charts and Weekly Levels

Let me go by Disclaimer these are my personal views and trade taken on these observation should be traded with strict Sl

We do discussion is Live market to update Nifty levels If you are interested you can LIKE the page to get Real Time Updates.

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We are Planning to conduct training session in Mumbai in batch of 8-10 persons in Last week of December, Interested people can contact me on bhandaribrahmesh@gmail.com

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