Hello Traders,
the „bearish engulfing“ wasn't complete, and so it followed another day of weakness for NIFTY50! It declined to 16340 and closed the day @ 16411. It fell below my cited range, and it could be, that 1-3 days of recovering price will follow in the coming week.
From a candlestick perspective, it creates a „doji“, a pattern of uncertainty. A perfect match for Monday would be a gap-up and a bullish candle; it would leave a „Morning-star“ at chart!?
But let's check the facts.
With Friday's decline, N50, has closed an open gap, left by trading from March 9-10 on both (low and closing price). If this was all of the decline, price should reverse and run higher for 1-3 days, with targets at or around the 16840-16900 range. Above that zone, the door should be open to 17240-1717425 range.
A weak opening on Monday, on the other hand, should morph into a decline for N50 to 16160-16100 range. Another target range should be at or around 15969-15953!
If so to come, we have to analyze the chart again for more information.
Have a great Sunday.....
Ruebennase
Feel free to ask or comment!
Trading this analysis is at your own risk!
the „bearish engulfing“ wasn't complete, and so it followed another day of weakness for NIFTY50! It declined to 16340 and closed the day @ 16411. It fell below my cited range, and it could be, that 1-3 days of recovering price will follow in the coming week.
From a candlestick perspective, it creates a „doji“, a pattern of uncertainty. A perfect match for Monday would be a gap-up and a bullish candle; it would leave a „Morning-star“ at chart!?
But let's check the facts.
With Friday's decline, N50, has closed an open gap, left by trading from March 9-10 on both (low and closing price). If this was all of the decline, price should reverse and run higher for 1-3 days, with targets at or around the 16840-16900 range. Above that zone, the door should be open to 17240-1717425 range.
A weak opening on Monday, on the other hand, should morph into a decline for N50 to 16160-16100 range. Another target range should be at or around 15969-15953!
If so to come, we have to analyze the chart again for more information.
Have a great Sunday.....
Ruebennase
Feel free to ask or comment!
Trading this analysis is at your own risk!