Nifty near 200 DMA - make or break level

Nifty and Bank Nifty continued its journey downwards where Nifty is nearing 200 DMA(5610), Bank Nifty has decisively broken the 200 DMA(11330) and closed well below it.

Nifty is developing a Bearish Shark pattern which would become an ABCD pattern on break of 5600.

Development of Bearish Shark Pattern:

OX - 6112 - 5663

A - 5971 - 70.7% retr of XA

B - 5647 - (current)

Projection for B:

5622 - 113% retr of AB.- (currently 200DMA ia 5610)

If 5600 breaks, then it would become

an ABCD pattern with coordinates:

A -6112

B-5664

C-5971 and Proj for D:

127% - 5579

141.4% -5535

161.8% - 5472

200 DMA if provides support then the Bearish Pattern would come into play else the down move would continue towards 5550

Similar Pattern is fprmed in Bank Nifty and it has already reached the 113% level. The Next important level in Bank Nifty is 11200 and if supported it would continue as Bearish Shark Pattern else it would continue its journey further down as ABCD pattern upto 11150 and below to 10900 levels.

The 11200 -11150  is the  support level as per the Monthly Channel of Bank Nifty.