NIFTY 25.07.10(D)

NIFTY DAILY CHART :

RETRACEMENT THEORY:NIFTY WILL FACE RESISTANCE AT 5481 WHICH THE 76.8 % RETRACEMENT FROM ALL TIME HIGH OF 6357 ( 8/01/08) TO ALL TIME LOW 2252( 27/10/08)

NIFTY 25.07.10 (C)

NIFTY DAILY CHART:

CLIMAX ZONE: AS CAN BEEN SEEN FROM THE ABOVE CHART WE ARE SEEING CONVERGENCE OF 2 TREND LINES ( BLUE AND ORANGE TREND LINE) AT AROUND 5500 

THUS 5500 WOULD BE IMPORTANT LEVEL TO WATCH WHERE WE HAVE MULTIPLE RESISTANCE WHICH WOULD BE DIFFICULT TO BREAK

NIFTY 25.07.10 (B)

WEEKEND EDITION:

NIFTY WEEKLY CHART 

RISING WEDGE: NIFTY HAS FORMED WHAT LOOKS LIKE A RISING WEDGE PATTERN ON WEEKLY CHART WHICH IS A BEARISH SIGNAL


IN ODER TO NEGATE THIS PATTERN NIFTY HAS TO BREAK THE UPPER TRENDLINE  WHERE THE RESISTANCE IS AT 5500

IN CASE OF BREAKDOWN THE TARGET WOULD BE CALCULATED AFTER THE BREAK OF THE LOWER TRENDLINE

NIFTY 25.07.10(A)

NIFTY DAILY CHART :

TRENDLINE: NIFTY HAD TAKEN SUPPORT AT VARIOUS POINTS(DIAMONDS) AS SHOWN ABOVE ALONG THE TRENDLINE 


AS THE TREND LINE IS VERY STEEP VALIDITY  WOULD BE QUESTIONED IN CASE OF BREAKDOWN FROM THESE LEVELS