This blog is my trading diary. It is an attempt to organise my analysis and thoughts. I follow the charting methods given in JUST NIFTY blog by Ilango sir and so the charts would have striking resemblance to his charts. I am indebted to Ilango sir for having made this blog possible for me.

August 5, 2011

Analysis for Aug 5

Nifty reached a Low of 5325 and closed at 5331. It has broken all pivots, Lema's and 5ema's. The TA looks RED!!!

Owing to weak global conditions, Nifty would be a huge gap down today. The probable supports as per the bearish pattern forming would be near. 5230-50. The low of 5197 should not be breached for the bearish pattern to be valid as

http://tradeessentials.blogspot.com/2011/07/development-of-bullish-pattern-within.html

The continuity chart of the above link:


















XA = 5912-5197
B= 5740
C can be equal or greater than A but never less than A
i.e C >=5197 - supports at 5228, 5258.

For the Bearish Pattern to be valid,
1. NS must take supports near 5225 - 5258 because A = 5197 MUST NOT be breached.
2. Once it breaches then the new low would be A of the bearish pattern and chart should be remarked.
Below 5225 the Probale levels are:5165, 4960

Action Plan for the Day:

partbook shorts near 5200 - 5225. and Hold shorts with SL of Hr close above 5260 - Previous price action from where the uptrend started to 5740.


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