Is the market tired?
Well, today’s price action suggests that!
Nifty opened with a gap above the falling trendline and moved higher up to 11578.05, came off over 120 points to make a low at 11452 after the Supreme Court deferred the decision on the moratorium. It finally settled at 11503.35 or 86.4 points up.
Nifty has formed a Spinning top candlestick pattern and is overbought at the very important resistance at 11600. It coincides with the 78.6% Fib retracement of the entire fall from 11794-10790.
A break below today’s low will take the Nifty back in to the falling channel which will be negative.
The Nifty must be able to push through the 11600-11650 range decisively for the bullish trend to continue!
How’s Nifty Bank faring?
Nifty Bank has printed out a Gravestone Doji at the resistance and is also overbought.
A pause or pullback is expected in a few days!
The outlook is cautious!
There are no signals for the day as per my Swing Trading Strategy!
Have a great day ahead!
P.S:
I have recently published the Big Picture Technical overview of the Global markets, commodities, and currencies. Do check it out if you haven’t already done so!
