Exactly as written last week, Nifty did remain below 5 EMA for initial couple of days but resumed its uptrend subsequently. The reversal till 15 EMA did not happen.
Now the following is my analysis for coming week based on what I am looking at (You may want to open image in new tab or save it for better view)
Even though Nifty is galloping ahead, the momentum indicators are exhausted now. There remain 3 parallel channels on my chart. The blue and green channels may only act as resistance from here on. Eventually, Nifty should settle after correction somewhere near the middle of black channel. This can happen either during coming week or next week.
Scenarios for the week ahead (highlighted as yellow box with red and greeen lines dissecting scenarios)…
|Scenario||Anticipated Price Action|
|Consolidation||Between 18150 and 17700|
|Downtrend||If breach below 17700; to drop somewhere till 17250|
|Uptrend||If breach above 18150; to rise somewhere till 18450|
Metals, steel and realty have been booming these days. I wonder if this is a good time to exit equity and invest in real estate?
DISCLAIMER: I am not a SEBI registered adviser. All the information provided on this website is for educational / informational purposes only and should not be taken as investment advice.