Bearish Bat Pattern
Nifty is forming a bearish bat pattern on the daily charts. Take a look at the charts.
This can be quite significant considering the strength shown by the world markets and all asset classes in the previous week. Therefore, if Nifty does not rise above the 5350 levels convincingly then we can assume this to be a sucker rally thereby showing the underlying weakness and the impending fall.
Short Nifty at current level of 5300.
Targets on the downside for Nifty are 4620 and then 4300.
Stop loss remains at 5370.
Lets take a look at various other asset classes which saw an uptick together with the global markets last week. Was it the start of a fresh rally or just a sharp bear market retracement???
BRENT CRUDE
Brent Crude is trading well below its 200 and 50 day moving averages. Till it does not cross these averages a sustained upmove in crude looks difficult. The uptick in crude may well just be a retracement rally to the sharp fall it has seen in past few weeks.
Outlook : Weak
GOLD SPOT
Alot of people out on the street who are bullish on the yellow metal should have a look at this chart. After being comfortably above the 200 and 50 day moving average at the start of the year, gold has struggled to break past through the 200 dma barometer. Till it does not take out these averages comfortably, we may well see gold heading downwards.
Outlook : Weak
SILVER SPOT
Silver in a pre-emptive move has already shown the path ahead for gold. Silver is trading well below both the
averages and will continue to be weak.
Outlook : Weak
USD / INR
This needs no words, the chart says it all. Usd / inr looks to be in a strong bull market and the strength is quite evident from the charts. Despite the biggest one day rise recorded by the rupee in the last 3 years, it is still trading comfortably above its 200 dma and one may expect to take support near its 50dma at 55 levels.
The clear thing is that the strength in usd / inr only indicates the underlying weakness in the indian markets and a big fall may be around the corner.
Outlook : Strong
Nifty is forming a bearish bat pattern on the daily charts. Take a look at the charts.
This can be quite significant considering the strength shown by the world markets and all asset classes in the previous week. Therefore, if Nifty does not rise above the 5350 levels convincingly then we can assume this to be a sucker rally thereby showing the underlying weakness and the impending fall.
Short Nifty at current level of 5300.
Targets on the downside for Nifty are 4620 and then 4300.
Stop loss remains at 5370.
Lets take a look at various other asset classes which saw an uptick together with the global markets last week. Was it the start of a fresh rally or just a sharp bear market retracement???
BRENT CRUDE
Brent Crude is trading well below its 200 and 50 day moving averages. Till it does not cross these averages a sustained upmove in crude looks difficult. The uptick in crude may well just be a retracement rally to the sharp fall it has seen in past few weeks.
Outlook : Weak
Alot of people out on the street who are bullish on the yellow metal should have a look at this chart. After being comfortably above the 200 and 50 day moving average at the start of the year, gold has struggled to break past through the 200 dma barometer. Till it does not take out these averages comfortably, we may well see gold heading downwards.
Outlook : Weak
SILVER SPOT
Silver in a pre-emptive move has already shown the path ahead for gold. Silver is trading well below both the
averages and will continue to be weak.
Outlook : Weak
This needs no words, the chart says it all. Usd / inr looks to be in a strong bull market and the strength is quite evident from the charts. Despite the biggest one day rise recorded by the rupee in the last 3 years, it is still trading comfortably above its 200 dma and one may expect to take support near its 50dma at 55 levels.
The clear thing is that the strength in usd / inr only indicates the underlying weakness in the indian markets and a big fall may be around the corner.
Outlook : Strong
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