Sensex Technical View :
Nifty :: Undeceive day without any direction with doji candle.. As far as close above 4167 momentum seems up, for further conformation watch 4290, above 4290 momentum seems up, below 4205 momentum down.. After a sharp up move in last week correction Nifty hold an important support level 4167 as closing basis, now for coming days 4167 works as trend decider for short term.. Our strategy for 26th May up to 4205 buy on deep (S.L 4155) Sell at high (S.L 4342).. Resistance for up move at 4254/4290/4320/4362.. Supports at 4190/ 4155/4137/4022..
a simple chart showing medium and intermediate term nifty support and resis lines.
Has anything changed on the index not yet ... So will stick to stock specific view.
Stocks to watchout for :
Possible day trading picks
Buy Century Textiles above 424 stop of 415 tgt 445.
Buy Orchid Chemicals around 127 stop of 122 tgt 135/142
Buy GE Shipping above 275 stop of 267 tgt 290
Sugar Stocks could see 3-7 % intra moves.
INVESTMENT PICK WITH MEDIUM TERM ViEW ( can Pyramid ) :
VENUS REMEDIES ( 190 )
Can be termed as a technical + funda pick. The stock has seen good volumes being traded in last few sessions. Fundamentally the stock is quoting at p/e of less then 4 , book value of 160 ( frm moneycontrol) the stock can see a re-rating in coming months. Technically staying above 200-205 gives a target of 240/275/320 in coming few months.
Buy initial qty at 190 zone and add on dips to 170 or above 200-205. Do your own research ! before taking exposure as the stock can stay sideways for quite some time.
Nifty :: Undeceive day without any direction with doji candle.. As far as close above 4167 momentum seems up, for further conformation watch 4290, above 4290 momentum seems up, below 4205 momentum down.. After a sharp up move in last week correction Nifty hold an important support level 4167 as closing basis, now for coming days 4167 works as trend decider for short term.. Our strategy for 26th May up to 4205 buy on deep (S.L 4155) Sell at high (S.L 4342).. Resistance for up move at 4254/4290/4320/4362.. Supports at 4190/ 4155/4137/4022..
a simple chart showing medium and intermediate term nifty support and resis lines.
financial market technicals by abhay r somkuwar.
NIFTY : (4237.55) Today Sensex face resistance at 4272, if cross 4272 then goes up to 4305 and 4338. Nifty find support at 4204, if 4204 break then fall up to 4170 and 4137.
JSW STEEL : (512.50)
Sell Below 512 target 1-500, target 2-489, stop loss 515
TATA STEEL : (368.70)
Sell Below 367 target 1-360, target 2-352, target 3-335, stop loss 375
THERMAX : (366.15)
Sell Below 371 target 1-357, target 2-349, stop loss 380
MCDOWELL : (888.50)
Sell Below 880 target 1-865, target 2-815, stop loss 903
HDIL : (293.65)
Sell Below 295 target 1-284, target 2-275, stop loss 303
EVERONN : (306.70)
Sell Below 298 target 1-288, target 2-270, stop loss 312
BHARAT FORGE : (163.40)
Sell Below 165 target 1-159, target 2-151, stop loss 168
REL INFRA : (1134.05)
Sell Below 1110 target 1-1076, target 2-1018, stop loss 1125
Nifty Spot
R-4238/4270/4301.
S-4205/4173/4140.
Nifty Fut
R-4240/4276/4310.
S-4206/4170/4136.
Sensex
R-13920/14021/14129.
S-13812/13711/13603.
NIFTY : (4237.55) Today Sensex face resistance at 4272, if cross 4272 then goes up to 4305 and 4338. Nifty find support at 4204, if 4204 break then fall up to 4170 and 4137.
JSW STEEL : (512.50)
Sell Below 512 target 1-500, target 2-489, stop loss 515
TATA STEEL : (368.70)
Sell Below 367 target 1-360, target 2-352, target 3-335, stop loss 375
THERMAX : (366.15)
Sell Below 371 target 1-357, target 2-349, stop loss 380
MCDOWELL : (888.50)
Sell Below 880 target 1-865, target 2-815, stop loss 903
HDIL : (293.65)
Sell Below 295 target 1-284, target 2-275, stop loss 303
EVERONN : (306.70)
Sell Below 298 target 1-288, target 2-270, stop loss 312
BHARAT FORGE : (163.40)
Sell Below 165 target 1-159, target 2-151, stop loss 168
REL INFRA : (1134.05)
Sell Below 1110 target 1-1076, target 2-1018, stop loss 1125
Yesterday market open huge up and heavy volatile. The Nifty fut will trade higher 4275 and lower 4205 and close 4241 levels. Today market we expected downside upto 30 to 50 points. The market will trade below 4180 it will go 4160,4150,4130 and 4120 levels. The market will last support at 4120 levels. This level market will break market again downside come upto 4020 level. But the nifty will trade abv 4280 and 4320 level the market will go further uptrend continued upto 4340,4350,4370,4390 and 4420 levels. The Nifty spot will cross and trade 10 to 30 minute 4180 level defently the market will go downside.
R-4238/4270/4301.
S-4205/4173/4140.
Nifty Fut
R-4240/4276/4310.
S-4206/4170/4136.
Sensex
R-13920/14021/14129.
S-13812/13711/13603.
Yesterday our Buy call three target's achived. Today nifty buy abv 4220 sl 4180 tgt 4240,4260,4270,4290 and 4320 levels. Nifty Sell below 4180 sl 4220 tgt 4160,4150,4130 and 4120 levels.
Do not rely on the VIX index for this series due to options swinging wildly with Nifty's sudden expansion & contraction..the index was @ 83 a couple of days ago and now it is @ 43. Our stochastics have served us well during this corrective fall.
Will it be a decisive day tomorrow for our markets..?? Stocks are making new highs too during this corrective phase..the big ones need to move up NOW..!!Keep an open mind and approach the market.
We did not see much movement with Nifty on either direction, rather it moved in a range from 4210 to 4270. As we had anticipated earlier, if found nice support at 4210/4220 zone and went higher touching intraday high near 4270, hence achieved intraday BUY order from 4220 to 4270( just few points below anticipated target at 4285). In weekly time frame it looks very Bullish where as in daily time frame it looks like a small pull back before next leg up. So, considering trend is our friend, we would look to BUY on dips. Tomorrow, if Nifty opens just above or near today’s close( 4237) then BUY above 4245 with stop loss below 4200 for target at 4320/40. But if Nifty opens near or below today’s close(4237) and goes lower, then SELL below 4190 with stoploss at 4230 for target at 4150/4130. However chances of Nifty going higher are more then Selling off. But as I say, we are here to trade with the trend, not fight with the trend. So always go with the major trend and avoid counter trend trades
Dear all,
Updates on 24/05/2009
Will it be a decisive day tomorrow for our markets..?? Stocks are making new highs too during this corrective phase..the big ones need to move up NOW..!!Keep an open mind and approach the market.
We did not see much movement with Nifty on either direction, rather it moved in a range from 4210 to 4270. As we had anticipated earlier, if found nice support at 4210/4220 zone and went higher touching intraday high near 4270, hence achieved intraday BUY order from 4220 to 4270( just few points below anticipated target at 4285). In weekly time frame it looks very Bullish where as in daily time frame it looks like a small pull back before next leg up. So, considering trend is our friend, we would look to BUY on dips. Tomorrow, if Nifty opens just above or near today’s close( 4237) then BUY above 4245 with stop loss below 4200 for target at 4320/40. But if Nifty opens near or below today’s close(4237) and goes lower, then SELL below 4190 with stoploss at 4230 for target at 4150/4130. However chances of Nifty going higher are more then Selling off. But as I say, we are here to trade with the trend, not fight with the trend. So always go with the major trend and avoid counter trend tradesDear all,
Updates on 24/05/2009
Last time I gave two different presentations and gave a view that if we cross 12650, we should consider that we are on B wave which retraces entire downmove from 21206 to 7697 by 50%.
The targets were also given as 13070/14600 and 16200 (Approximately)
We have already seen 50% target at 14930 (crossed 14650 but didn't close for 3 days above it)
Currently we are reversing and that could be it's major subwave called "b" wave. (Bb)
It has three waves, a, b and c and we have already seen a part of "a" wave to 13750 or so.
Currently we may be on a small upwave within a downwave. The downwave
may last for 2 to 4 weeks. (Roughly)
We may stop at either
1 12315
2 11500
3 10700
Basically it is an intermediate opportuntiy to BUY.
But beware, the next upmove called B-c may not allow most of us to sell. Sentiments would grip the MIND. Remember my words please.
Alternatively we may go higher right now, re-test 14600 again , go bit further up to 15300/15700 and then after fall to one of these above levels.
Once we complete the downmove, we may not only re-test 14600/14930 but
also march on to see 16200. There is a slim chance to see even close to 18000 (17800/17900 band)as a 76.8% ratio.
If we touch 10700, I strongly believe that one must take opportunity not to build a ST potfolio but also look for an opportunity to build a LT one.
BSE Sensex Creates a History with two upper circuit in one day-18/05/2009
Today,s post of monday morning cannot be complete without the mention of the Golden Monday when for the first time in the history of the stock market, in the first minute of the trade the BSE Sensex and the Nifty crossed 13000 and 4000 respectively and hit the upper circuit..
Markets stopped trading for the day(18/05/2009) as the bench mark hit another upper circuit as soon as the trade resumed after 2 hour break. The almost clear mandate by the Voters of India to UPA-congress led to an unprecedented wave of good feeling. And the euphoric investor gave a big thumbs up by a massive gap up opening to the United Progessive Alliance who have emerged victorious in this 2009 general elections.
BSE Sensex Daily Chart Till 22/05/2009 With Highlighted Ascending channel
As indicated last week BSE Sensex not only went back into the daily ascending channel, but broke out of this ascending channel on the upside. On monday 18/05/2009 BSE Sensex made a high of 14284 and reached 14930 on tuesday 19/05/2009. As long as BSE Sensexin daily chart is within the ascending channel, bulls will have upper hand. In nut-shell BSE Sensex not only achieved the target of 13000 but ranged high to an almost 14930 which was just 70 points less to 15000. All the market pundits & analyst had predicted magnimously BSE Sensex will reach at least 14000 by the yearend, are chewing their nails in frustration as BSE Sensex went beyond 14000 by a good measure.
Technically speaking breaching upper boundary of ascending channel though bullish often hints at a short term top or hints at exhaution & also warn a good observer of change in the market structure. Currently BSE Sensex is in the ascending channel and as long as it hold this channel , longs and bulls can be comfortable.
BSE Sensex Daily Chart Till 22/05/2009
Structure Of Sensex
Since low of 7700 in November 2008, Higher tops & Higher bottoms structure was seen in the daily chart. But from January 2009 structurally Lower tops & Lower bottoms was visible. This confirmed the sideways structure (Higher Tops - Higher Bottoms, Lower tops - Lower bottoms). Side-ways is often a period of breather or uncertainity."If the rally continues above 13000,then sideways structure for the market can be said to be over." has come true as per last post of 18/05/2009.
Market structure from now can be said to have negated side ways movement.And from last week,s big rise BSE Sensex has indicated a Higher top & Higher bottom structure in the Daily Chart.
Momentum Indicator /Oscillator For Daily Chart
Currently in the Daily chart the KST momentum indicator is in overbought zone, indicating a strong rally. KST Oscillator indicate bulls have a upper hand as of now.
Note: "The KST was in overbought zone most of the time in the trending market of 2005-2007. But in the daily BSE Sensex chart shows that since fall in January 2008, the KST indicator broke the zero line from the upside and migrated to south - oversold zone. Since January 2008 KST Indicator has been in oversold zone. At every rally in the BSE Sensex KST indicator briefly touches the zero line or equilibrium line, but again fall back to form new trough in the oversold zone. This phenomen is indicated in the Daily Sensex Chart with down arrows, in earlier BSE Sensex Posts."
Volume
"The volumes From November 2008 to January 2009 are descent, they look more of accumulation . But accumulation can be authenticated on the descent rally. On 10/02/2009 highest volume was seen.The March 2009 rally now seems to authenticate the volume accumulation since November 2008. In April 2009 the rally has been on a rising volume which is good indicator that this rally is a powerful one." All this observations have come true. Volume is one of the informant cog or puzzle chip in over all technical picture.
Trendline
Since BSE Sensex is now far away from Decending channel drawn from high of January 2008. So from now on we will only articulate on ascending channel formed from late March 2009. Again as indicated in Market Structure section-As long as BSE Sensex is within the ascending channel bulls have a upper hand.
"Since high of 21206, in January 2008, a clear descending channel is seen in the above daily chart of the Sensex. BSE Sensex attempted breaking out on upside on 4 occassions, dated -16/05/2008, 12/08/2008, 05/09/2008, 12/02/2009. But on 16/03/2009 BSE Sensex did successfully crossover the descending channel on the upside." For more reference one may visit old BSE Sensex posts.
Retracement
The massive fall from the high of 21237...January 2008, and respective low of 7700 in November 2008 a retracement level is being worked out .
The retracements levels were 32%-13097, the 50%-10597 & 61.8% -8096. BSE Sensex on 6/03/2009 made a low of 8047, thus covering 61.8% of the total fall.On 08/04/2009 crossed 10597, thus covering 50% retracement of total fall. On golden monday 18/05/2009 BSE Sensex touched 14284 thus achieved 32% -13097 of the total fall.
Moving Averages
The crossing of 200 sma and staying above it is an ample proof that daily trend of BSE Sensex is maturing. As long as BSE Sensex is above 200dma bullishness persists.
In the daily chart of BSE Sensex all moving average from 13ema, 34ema, 50sma & 100sma were successfully crossed and later 200dma on 24/04/2009. 200sma 0r dma is an important longterm moving average.
Sensex Key Support Level-- ---- 13379, 13486, 13593
Sensex Key Resistance Level---- 13978, 14101, 14262
BSE Sensex Weekly Chart Till 22/05/2009
The weekly BSE Sensex target of symmetrical triangle which is at 13420 has been achieved successfully.
For weekly symmetrical triangle 13420 was the minimum objective or target. But it has achieved 14930, which means technically in a good and forceful move targets go beyound minimum objective and sometimes do reach double or triple of the target. If BSE Sensex crosses 15000 on weekly basis new targets can be achieved.
Old Overview of BSE Sensex Weekly Chart.(For those who joined late in this trend analsyis.)
In the Above Sensex Weekly Chart from the high in January 2008, BSE Sensex has been trading in Weekly Descending channel. In October 2008 sensex broke out of descending channel signalling exhaustion and since then has been trading side ways below the descending Channel. This sideways trading has given to formation of symmetrical triangle.The symmetrical triangle often referred to as side-ways or consolidation pattern. It means before embarking upon any trend, it is breather period.n Symmetrical triangle though are a continuation pattern usually. But sometimes Triangles may act as a reversal pattern also. As it is Triangles are one of the most trickiest patterns. Hence we revisit the pattern in BSE Sensex Weekly and have a re-look at our targets.
This weekly Triangle has given breakout downward at 9250. So now we will consider 9250 for calculations purpose. The calculations now stand as follows:
The base of the triangle is (High 11870-Low 7700) = 4170.
Upward target after Breakout will be (9250+4170) = 13420.
The symmetrical triangle target of 13420 has been achieved successfully on the golden monday-18/05/2009.
Momentum Indicator /Oscillator For Weekly chart
"In the weekly chart momentum Indicator KST has almost given a breakout on the upside to overbought zone.The breakout above zeroline is indicative of good times ahead for bulls. " has indeed come true. Now the weekly KST Indicator has affirmed the bullishness on a weekly level. The tone at weekly level is fast turning from bearish to bullish in the BSE Sensex. It can be concluded that intermediate trend of BSE Sensex is positive or bullish as long as KST Indicator is rising and in overbought zone.
BSE Sensex Monthly Chart Till 22/05/2009
Momentum Indicator /Oscillator For Monthly Chart
In the monthly BSE Sensex chart the Momentum Indicators or Oscillators KST is in over sold zone, but has given proper bullish crossover in monthly BSE Sensex chart . "Hence May 2009 is an interesting month of watch on Monthly chart " has also come true.
The targets were also given as 13070/14600 and 16200 (Approximately)
We have already seen 50% target at 14930 (crossed 14650 but didn't close for 3 days above it)
Currently we are reversing and that could be it's major subwave called "b" wave. (Bb)
It has three waves, a, b and c and we have already seen a part of "a" wave to 13750 or so.
Currently we may be on a small upwave within a downwave. The downwave
may last for 2 to 4 weeks. (Roughly)
We may stop at either
1 12315
2 11500
3 10700
Basically it is an intermediate opportuntiy to BUY.
But beware, the next upmove called B-c may not allow most of us to sell. Sentiments would grip the MIND. Remember my words please.
Alternatively we may go higher right now, re-test 14600 again , go bit further up to 15300/15700 and then after fall to one of these above levels.
Once we complete the downmove, we may not only re-test 14600/14930 but
also march on to see 16200. There is a slim chance to see even close to 18000 (17800/17900 band)as a 76.8% ratio.
If we touch 10700, I strongly believe that one must take opportunity not to build a ST potfolio but also look for an opportunity to build a LT one.
NIFTY (4237.55)
Resistance : 4270 / 4305 / 4340
Support : 4205 / 4170 / 4140
SENSEX (13913.22)
Resistance : 14020 / 14130 / 14200
Support : 13815 / 13750 / 13715 / 13610
NIFTY FUT (4242) : NIFTY Is Range Bound Between 4150-4380
Resistance : 4275 / 4295 / 4325 / 4380
Support : 4205 / 4190 / 4170 / 4150
MKT COMMENTS
NIFTY FUT OI (both series) marginal down with decreasing volumes indicating unwinding of longs.
We expect NIFTY FUT to trade rangebound with negative bias.
On Tuesday,Opening is Flat to Up,
Stay Long Abv 4240,Sl Below 4225,Tgt 4270/4295/4315/4340.
Sustain Below 4225,Sell with Sl Above 4240,Tgt 4205/4175/4150.
BUY
BIOCON Above 190,Sl 185,Tgt 195/200/205
SBIN (1722),Sl Below 1705,Tgt 1745/55
HDFC At Dips,Sl 2040,Tgt 2120/50
JETAIRWAYS Above 315
JPASS,Sl 175,Tgt 195/200/210
RELINFRA Above 1150,Sl 1125,Tgt 1180/95+
BALCHINI Above 80,Sl 77,Tgt 83/85/87+
BUY POSITIONAL
RNRL,Sl 77,Tgt 85/88/91
PANTALOON Above 310,Sl 300,Tgt 320/30+
BPCL Above 465,Sl 445,Tgt 480/90++
GITANJALI Above 118,Sl 114,Tgt 130
HINDPETRO Above 340,Sl 315,Tgt 355/65+
JPHYDRO / SURAJDIAMONDS / IDFC / VIDEOCONINDS / RAJESHEXP / GVKPIL
FUTURES
MLL (59.8)
Support : 58.3 / 57.1 / 56.3 / 55.2
Resistance : 61.3 / 62.5 / 63.2 / 64.5
JPASS (188) : Buy Above 188,Sl 184,Tgt 192/95/97/200
ONGC (1039) : Buy@ 1000/1010,Sl 990,Tgt 1030/45/60/80/1100 (BTST,If Closes Above 1045/1060 )
RANBAXY (266.7) : Buy@ 255,Sl 249,Tgt 265/70/75/80+
TV18 : Buy@ 139,Sl 137,Tgt 140/141.6/143/145.7/147.1/149/151
CAIRN : Sell@ 215,Sl 217.5,Tgt 212.5/211.4/209.8/207/205/203/200/198
BHARTI (811.4) : Sell@ 835/30,Sl 860,Tgt 790/80
BSE Sensex Creates a History with two upper circuit in one day-18/05/2009
Today,s post of monday morning cannot be complete without the mention of the Golden Monday when for the first time in the history of the stock market, in the first minute of the trade the BSE Sensex and the Nifty crossed 13000 and 4000 respectively and hit the upper circuit..
Markets stopped trading for the day(18/05/2009) as the bench mark hit another upper circuit as soon as the trade resumed after 2 hour break. The almost clear mandate by the Voters of India to UPA-congress led to an unprecedented wave of good feeling. And the euphoric investor gave a big thumbs up by a massive gap up opening to the United Progessive Alliance who have emerged victorious in this 2009 general elections.
BSE Sensex Daily Chart Till 22/05/2009 With Highlighted Ascending channel
As indicated last week BSE Sensex not only went back into the daily ascending channel, but broke out of this ascending channel on the upside. On monday 18/05/2009 BSE Sensex made a high of 14284 and reached 14930 on tuesday 19/05/2009. As long as BSE Sensexin daily chart is within the ascending channel, bulls will have upper hand. In nut-shell BSE Sensex not only achieved the target of 13000 but ranged high to an almost 14930 which was just 70 points less to 15000. All the market pundits & analyst had predicted magnimously BSE Sensex will reach at least 14000 by the yearend, are chewing their nails in frustration as BSE Sensex went beyond 14000 by a good measure.
Technically speaking breaching upper boundary of ascending channel though bullish often hints at a short term top or hints at exhaution & also warn a good observer of change in the market structure. Currently BSE Sensex is in the ascending channel and as long as it hold this channel , longs and bulls can be comfortable.
BSE Sensex Daily Chart Till 22/05/2009
Structure Of Sensex
Since low of 7700 in November 2008, Higher tops & Higher bottoms structure was seen in the daily chart. But from January 2009 structurally Lower tops & Lower bottoms was visible. This confirmed the sideways structure (Higher Tops - Higher Bottoms, Lower tops - Lower bottoms). Side-ways is often a period of breather or uncertainity."If the rally continues above 13000,then sideways structure for the market can be said to be over." has come true as per last post of 18/05/2009.
Market structure from now can be said to have negated side ways movement.And from last week,s big rise BSE Sensex has indicated a Higher top & Higher bottom structure in the Daily Chart.
Momentum Indicator /Oscillator For Daily Chart
Currently in the Daily chart the KST momentum indicator is in overbought zone, indicating a strong rally. KST Oscillator indicate bulls have a upper hand as of now.
Note: "The KST was in overbought zone most of the time in the trending market of 2005-2007. But in the daily BSE Sensex chart shows that since fall in January 2008, the KST indicator broke the zero line from the upside and migrated to south - oversold zone. Since January 2008 KST Indicator has been in oversold zone. At every rally in the BSE Sensex KST indicator briefly touches the zero line or equilibrium line, but again fall back to form new trough in the oversold zone. This phenomen is indicated in the Daily Sensex Chart with down arrows, in earlier BSE Sensex Posts."
Volume
"The volumes From November 2008 to January 2009 are descent, they look more of accumulation . But accumulation can be authenticated on the descent rally. On 10/02/2009 highest volume was seen.The March 2009 rally now seems to authenticate the volume accumulation since November 2008. In April 2009 the rally has been on a rising volume which is good indicator that this rally is a powerful one." All this observations have come true. Volume is one of the informant cog or puzzle chip in over all technical picture.
Trendline
Since BSE Sensex is now far away from Decending channel drawn from high of January 2008. So from now on we will only articulate on ascending channel formed from late March 2009. Again as indicated in Market Structure section-As long as BSE Sensex is within the ascending channel bulls have a upper hand.
"Since high of 21206, in January 2008, a clear descending channel is seen in the above daily chart of the Sensex. BSE Sensex attempted breaking out on upside on 4 occassions, dated -16/05/2008, 12/08/2008, 05/09/2008, 12/02/2009. But on 16/03/2009 BSE Sensex did successfully crossover the descending channel on the upside." For more reference one may visit old BSE Sensex posts.
Retracement
The massive fall from the high of 21237...January 2008, and respective low of 7700 in November 2008 a retracement level is being worked out .
The retracements levels were 32%-13097, the 50%-10597 & 61.8% -8096. BSE Sensex on 6/03/2009 made a low of 8047, thus covering 61.8% of the total fall.On 08/04/2009 crossed 10597, thus covering 50% retracement of total fall. On golden monday 18/05/2009 BSE Sensex touched 14284 thus achieved 32% -13097 of the total fall.
Moving Averages
The crossing of 200 sma and staying above it is an ample proof that daily trend of BSE Sensex is maturing. As long as BSE Sensex is above 200dma bullishness persists.
In the daily chart of BSE Sensex all moving average from 13ema, 34ema, 50sma & 100sma were successfully crossed and later 200dma on 24/04/2009. 200sma 0r dma is an important longterm moving average.
Sensex Key Support Level-- ---- 13379, 13486, 13593
Sensex Key Resistance Level---- 13978, 14101, 14262
BSE Sensex Weekly Chart Till 22/05/2009
The weekly BSE Sensex target of symmetrical triangle which is at 13420 has been achieved successfully.
For weekly symmetrical triangle 13420 was the minimum objective or target. But it has achieved 14930, which means technically in a good and forceful move targets go beyound minimum objective and sometimes do reach double or triple of the target. If BSE Sensex crosses 15000 on weekly basis new targets can be achieved.
Old Overview of BSE Sensex Weekly Chart.(For those who joined late in this trend analsyis.)
In the Above Sensex Weekly Chart from the high in January 2008, BSE Sensex has been trading in Weekly Descending channel. In October 2008 sensex broke out of descending channel signalling exhaustion and since then has been trading side ways below the descending Channel. This sideways trading has given to formation of symmetrical triangle.The symmetrical triangle often referred to as side-ways or consolidation pattern. It means before embarking upon any trend, it is breather period.n Symmetrical triangle though are a continuation pattern usually. But sometimes Triangles may act as a reversal pattern also. As it is Triangles are one of the most trickiest patterns. Hence we revisit the pattern in BSE Sensex Weekly and have a re-look at our targets.
This weekly Triangle has given breakout downward at 9250. So now we will consider 9250 for calculations purpose. The calculations now stand as follows:
The base of the triangle is (High 11870-Low 7700) = 4170.
Upward target after Breakout will be (9250+4170) = 13420.
The symmetrical triangle target of 13420 has been achieved successfully on the golden monday-18/05/2009.
Momentum Indicator /Oscillator For Weekly chart
"In the weekly chart momentum Indicator KST has almost given a breakout on the upside to overbought zone.The breakout above zeroline is indicative of good times ahead for bulls. " has indeed come true. Now the weekly KST Indicator has affirmed the bullishness on a weekly level. The tone at weekly level is fast turning from bearish to bullish in the BSE Sensex. It can be concluded that intermediate trend of BSE Sensex is positive or bullish as long as KST Indicator is rising and in overbought zone.
BSE Sensex Monthly Chart Till 22/05/2009
The Monthly January 2009 candle was bearish. While February 2009 was also bearish. March 2009 was a bullish candle, thus forming Bullish Engulfing Pattern on monthly BSE Sensex Chart. The April 2009 is bullish belt hold line candle pattern.Currently May 2009 candle is bullish. But real call can be taken on closing basis for monthly May 2009 candle. In the BSE Sensex monthly chart has support at 100sma which is at 8335 & 50 sma is at 12475 .
As has been indicated may times in all old BSE Sensex posts, that bull market or bull trend in BSE Sensex cannot said to be over for longterm till monthly uptrend line 2 drawn from low from year 1981 gets broken. And so far it does not appear to have broken. So long term BSE Sensex is still bullish.
As has been indicated may times in all old BSE Sensex posts, that bull market or bull trend in BSE Sensex cannot said to be over for longterm till monthly uptrend line 2 drawn from low from year 1981 gets broken. And so far it does not appear to have broken. So long term BSE Sensex is still bullish.
Momentum Indicator /Oscillator For Monthly Chart
In the monthly BSE Sensex chart the Momentum Indicators or Oscillators KST is in over sold zone, but has given proper bullish crossover in monthly BSE Sensex chart . "Hence May 2009 is an interesting month of watch on Monthly chart " has also come true.
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