Nifty future was in a very firm uptrend and from last few trading sessions we have seen selling in nifty future. We see this correction is just a pullback and not reversal, as there was no change in fundamentals. If you take a close look on the nifty future charts there Fibonacci retracement zones are proving to be stronger support and some consolidation. Trend reversal happens when fundamental ... [Continue Reading]
Head and shoulder pattern was formed in nifty future, How to identify reversal
Head and shoulder pattern is also a popular trend reversal pattern formed on charts, once this pattern is formed there is high probability that initial trend will reverse soon. This type of pattern gets formed on a bullish market i.e. when nifty future is in uptrend, first a top gets formed known as shoulder then a higher top forms called head, on formation of head second shoulder gets formed. ... [Continue Reading]
Nifty future has formed double top pattern last week, Expect reversal
On daily charts we have seen that nifty future has formed a double top pattern (A kind of short term reversal pattern), we are of view that nifty future is more likely to see a reversal in trend. If you go through recent fundamental changes, there are also signalling the change in short term trend, like inflation has gone below 7% now, IIP data has come above 6% and is much in line to estimates by ... [Continue Reading]