Earning Wave

Last week Nifty formed exhaustion gap and after that formed Bearish Harami pattern and failed to cross 11700 resistance. In weekly charts, nifty formed High Wave Candle pattern, indicating that Bulls and Bears strength equalised at current levels last week. Now this week we need to watch 11416 level on lower side and 11696 on Higher side for further directional movement. Whichever side nifty breaks, one side momentum comes in that direction. Technical indicators in Sell Mode, so  higher probabilities are favoring downside momentum to resume. Hence, market in sell on Rise mode. Resistance 11700, Support 11416. Close below 11380 would trigger fresh selling pressure in Market. Bulls need to protect 11380 crucial support to take nifty higher. Bears need to protect 11700 resistance to stop upside momentum. Regards, Suryadev Bandari Research Analyst www.earningwave.com

Nifty bounced back strongly on back of Major news announcement of Cut in Corporate Tax on Friday. Today nifty retraced 61.8% of entire fall. As of Now, wave 2 in finishing stages.  More possibility for Wave 3 down to begin any time soon. Hence, Be cautious. Its time to reduce long positions. Profit booking time. From current levels, nifty likely to retest 11000 levels anytime. Short term top made. New highs may not be possible from here. Keep booking profits in long positions. Wave 3 Impulsive Down move can begin any time. Regards, Suryadev Bandari Research Analyst www.earningwave.com

NIfty moved exactly as forecast in last update. Yesterday Bulls failed to hold 10850 support level and nifty closed well below that level. Today, In opening also Bulls failed to hold opening gap up. Most preffered wave count suggesting that IRREGULAR TRIANGLE completed and Impulsive down move has started. Next downside level to watch is 10750. Market in Sell on Rise Mode. 10875 first resistance and 10975 strong resistance. Minor support 10750. Regards, Suryadev Bandari Research Analyst www.earningwave.com

Nifty formed Bearish Engulfing pattern in daily charts and today in bearish continuation pattern. Banknifty yesterday formed Doji near 200dma and today it formed Evening star formation. Both indicating that short term bounce has ended yesterday and down move to continue from hereon. 10900 in nifty crucial for bulls. Keep strict stoploss to long positions. Regards, Suryadev Bandari Research Analyst.

Possible Irregular triangle in finishing stage. Once this triangle completes, then we will see swift impulsive down move in market. Upside capped at 11141-11045 range. Crucial support to watch today is 11000 spot, once this level breaches, then we will get indication of possible trend reversal. Keep strict stoploss to long positions as we expecting swift trend reversal anywhere between 11045-11141 zone. Resistance 11045-11141 Support 11000, 10960. Regards, Suryadev Bandari Research Analyst

  Indecisiveness in Weekly charts. Last week, nifty ended with indecisive Doji pattern in Weekly charts. In Daily charts, nifty traded below key resistance zone 10950-10965-11025. As long as nifty trades below this resistance zone, sell on Rally mode continues. This week's crucial Resistance at 11025-11141. This week's Crucial Supports at 10746-10756. Nifty likely to trade in this range.  The stocks which were helped in Friday's Bounce, went into over bought zone and sell mode in shorter time frame charts, means, they may not move up today and likely to face profit booking.  Lack of Buying can not push index to breakout resistance. We need to watch First hour of trade today opening.  10900 is crucial intraday support, incase nifty trades below this level, bears takes control and selloff emerges again. Bears tries to protect 11000-11025 resistance zone.  Stock specific momentum can be seen today. Regards, Suryadev Bandari Research Analyst

Nifty facing stiff resistance at 10950-11000 zone. Bulls failed to continue Wednusday's bounce due to lack of buying interest from buyers. Whole day nifty moved in narrow range and formed bearish candle. Today 10820 level is very crucial to decide trend. Below this level, Bears takes control on market and we can see selling pressure till 10747. Above this Bulls tries to move above 10950 levels. 10747-10950 is range for nifty today. On weekly scale, high probability for nifty move towards 10747 and even lower, as today last day in Week, Bears tries to close below or near weekly lower level. Most of stocks witnessing selling pressure on every bounce.  Still market in 'SELL ON RISE' mode. Utilize every bounce to create short selling trades, keeping stoploss above 11000. Resistance 10950-11000. Crucial level to watch 10820. Support 10747. Regards, Suryadev Bandari Research Analyst www.earningwave.com