19 Mar ’24 — N50 breaks support, but no flash crash expected...
Nifty Analysis - Stance Bearish⬇️
Recap from yesterday: “The only thing that could override this W pattern is the lower high, lower low formation. LH, LL will take precedence over a short-duration pattern all the time.“
4mts chart
I can say With 70% confidence that Nifty50’s Lower Low, Lower High (LL, LH) wave formation has taken precedence over the W (double bottom) pattern. If not, we would not have broken the 21913 support. Take a look at the 09.55 and 09.59 candlesticks, both are RED and with considerable depth. Once we breached the support, there was no attempt to retrace. One thing is missing though - momentum. The weak hands still hold the shorts, I am guessing it is the right time for the big boys to enter as the conditions are much more favorable right now. There is one problem though - BankNifty!
Nifty’s next major support comes at 21491, but before we go there we have some 2 months of data to be analyzed and processed. Reminding you once again that Nifty spent time from Dec 15th to Feb 15th between 21491 and 21913. So a flash crash could be ruled out per se. If that happens, then it is going to be some serious trouble for the current election structure. Always a greenish market is favorable for the current incumbent Govt. If the investors prices the chances of re-election being troublesome, then the market has only one direction to go.
63mts chart
Recap from yesterday: “The only thing that could override this W pattern is the lower high, lower low formation. LH, LL will take precedence over a short-duration pattern all the time.“
4mts chart
I can say With 70% confidence that Nifty50’s Lower Low, Lower High (LL, LH) wave formation has taken precedence over the W (double bottom) pattern. If not, we would not have broken the 21913 support. Take a look at the 09.55 and 09.59 candlesticks, both are RED and with considerable depth. Once we breached the support, there was no attempt to retrace. One thing is missing though - momentum. The weak hands still hold the shorts, I am guessing it is the right time for the big boys to enter as the conditions are much more favorable right now. There is one problem though - BankNifty!
Nifty’s next major support comes at 21491, but before we go there we have some 2 months of data to be analyzed and processed. Reminding you once again that Nifty spent time from Dec 15th to Feb 15th between 21491 and 21913. So a flash crash could be ruled out per se. If that happens, then it is going to be some serious trouble for the current election structure. Always a greenish market is favorable for the current incumbent Govt. If the investors prices the chances of re-election being troublesome, then the market has only one direction to go.
63mts chart
Publications connexes
Clause de non-responsabilité
Les informations et les publications ne sont pas destinées à être, et ne constituent pas, des conseils ou des recommandations en matière de finance, d'investissement, de trading ou d'autres types de conseils fournis ou approuvés par TradingView. Pour en savoir plus, consultez les Conditions d'utilisation.