Technicals - NIFTY- Pullback on Cards :: HDFC Sec

Please Share::

�� India Equity Research Reports, IPO and Stock News Visit http://indiaer.blogspot.com/ for complete details ��

��

-->
Pullback on Cards
Day’s action formed a hammer candle in the rise with reasonable volumes, however the placement of the candle is
not as per theory and hence pattern wise it doesn’t have much value.
Technically, index has started moving up and breached the falling channel setup which is a bullish sign for the market
in the near term. As we had indicated earlier the short term trend line and reversal candle has provided support and
pushed the index up. Index has closed with strong market breath; 1294/196 A/D ratio has been witnessed, this could
provide strength to the bulls for next 1-3 days.
Overall one falling leg has ended at 7961 and index has started to retrace the last fall which is from 8626 to 7961, key
retracement levels of 38.2% & 50% levels are placed at 8210 – 8300 levels respectively. We have to observe the rise
very closely as to whether the upward retracement is faster or slow? Based on that, we can forecast the next major
leg.
Crucial support is placed at 8080. If, by any chance index slides below this level then we could see the down trend to
continue towards 7961 – 7700 levels. Major trend is still down with the reversal level of 8400 as the price is trading
below key moving averages and till now faster retracements are in favor of bears.

LINK

http://www.hdfcsec.com/Share-Market-Research/Research-Details/StockReports/3010356