NIFTY MAKE OR BREAK?? 100 DMA TO DECIDE

Nifty has made a Low of 5883 - at 100 DMA. This becomes a very important support level. Now for few charts.

The Monthly Nifty chart Clearly shows that the Breakdown of 5880 levels would lead to a break down of Channels dragging Nifty to lower levels.

 

The Day charts clearly indicates support at 100 DMA

 

Development of Bearish Shark Pattern in Hour Charts:

 

 

Development of Bearish Shark Pattern.

OX -6229 - 5936

A - 6134 -61.8% retr of OX

B - 5883 - 113% -127% retr of XA

Holding current Low @ 5883,

Proj for C:

88.6% of OX - 6195

or 161.8% of AB - 6289

 

If 100 DMA @ 5895 breaks decisively then it would be an ABCD pattern i.e.,

A - 6229

B - 5936

C - 6134 - 61.8% retr of AB

Projection for D:

127% retr of BC - 5880

141.4% - 5854

161.8% - 5813

 

SYNOPSIS: Holding of 100 DMA is very important to avoid futher downsides.