We will get bullish only if NIFTY breaks only if 78.6% retracement level is broken convincingly.
Also take note of that red Support and resistance line.
The present count which I am following :
(ii) was 61.8% retracement . (iv) was 38.2% retracement. Nifty has found it hard to breakthrough that red trend line. Managing to close just below it. At present Nifty is at 61.8% of (i) . 78.8% of (i) comes at 5987 . And 100% of (i) comes at 6067.
I am going freshly BULLISH only after these levels are surpassed convincingly.
The weekly charts are getting Overbought as well.
See what happened when Nifty had hit the trend line and also was at Overbought condition.
Also take note of that red Support and resistance line.
The present count which I am following :
(ii) was 61.8% retracement . (iv) was 38.2% retracement. Nifty has found it hard to breakthrough that red trend line. Managing to close just below it. At present Nifty is at 61.8% of (i) . 78.8% of (i) comes at 5987 . And 100% of (i) comes at 6067.
I am going freshly BULLISH only after these levels are surpassed convincingly.
The weekly charts are getting Overbought as well.
See what happened when Nifty had hit the trend line and also was at Overbought condition.
Hi Jonak,
ReplyDeleteFirst of all thanks a lot for giving my work a space here.
I think overbought levels are something the smart money and retailer look differently. Retailer gets early and start reversing his position whereas the smart money takes this opportunity to accelerate in the direction. The contra over-bought / sold is something we should look at, i.e. if in uptrend we should look for oversold position to enter and vice-versa. Just a thought (and bit of experience).
Your work is quite clean. Keep it up.
Regards,
Rajib