MARKET TREND FOR TODAY
The Markets remained yesterday for the entire session in a negative territory trading in a very narrow intraday range and in the process ended the day with modest losses and also formed a lower top and lower bottom on the Daily High Low Charts.
For today, expect the Markets to take some breather from the yesterday’s weakness and also expect some stability to return in the Markets. The Markets are expected to open on a flat note looking for directions and are likely to depend again on intraday trajectory that it forms and also the volumes.
The Markets are expected to open flat and the global cues remaining quiet to positive, are likely to extend stability. The US markets have recovered much from their day’s low. For today, the levels of 5075 and 5110 are likely to act as resistance and 5005 and 4970 are likely to act as supports.
The RSI—Relative Strength Index on the Daily Charts is 47.1383 and it continues to remain neutral without showing any negative divergence or failure swings. The Daily MACD continues to trade above its signal line and is bullish.
Having said this, the Markets have resisted to the levels of 5170 thrice and as mentioned in our previous editions of Daily Market Trend Guide, this has now become an immediate resistance.
Going by the pattern analysis, the Markets have formed a formation known as "Ascending Triangle". This formation has been formed while joining the tops at 5170 and the rising bottoms of 4720 and 4911. The markets are expected not to significantly form a lower bottom from now on as they are trading near immediate short term support if we join these bottoms.
All and all, uncertainty may persist is the Markets for couple of days, but subject to the Markets maintaining certain levels as mentioned herein, the overall trend still remains intact. Stock specific activity will continue and it will be important to keep protecting profits at higher levels. Cautious, but positive outlook is advised for today
Milan Vaishnav,
Consulting Technical Analyst,
www.MyMoneyPlant.co.in
+91-9825016331
milanvaishnav@mymoneyplant.co.in
milanvaishnav@yahoo.com
The Markets remained yesterday for the entire session in a negative territory trading in a very narrow intraday range and in the process ended the day with modest losses and also formed a lower top and lower bottom on the Daily High Low Charts.
For today, expect the Markets to take some breather from the yesterday’s weakness and also expect some stability to return in the Markets. The Markets are expected to open on a flat note looking for directions and are likely to depend again on intraday trajectory that it forms and also the volumes.
The Markets are expected to open flat and the global cues remaining quiet to positive, are likely to extend stability. The US markets have recovered much from their day’s low. For today, the levels of 5075 and 5110 are likely to act as resistance and 5005 and 4970 are likely to act as supports.
The RSI—Relative Strength Index on the Daily Charts is 47.1383 and it continues to remain neutral without showing any negative divergence or failure swings. The Daily MACD continues to trade above its signal line and is bullish.
Having said this, the Markets have resisted to the levels of 5170 thrice and as mentioned in our previous editions of Daily Market Trend Guide, this has now become an immediate resistance.
Going by the pattern analysis, the Markets have formed a formation known as "Ascending Triangle". This formation has been formed while joining the tops at 5170 and the rising bottoms of 4720 and 4911. The markets are expected not to significantly form a lower bottom from now on as they are trading near immediate short term support if we join these bottoms.
All and all, uncertainty may persist is the Markets for couple of days, but subject to the Markets maintaining certain levels as mentioned herein, the overall trend still remains intact. Stock specific activity will continue and it will be important to keep protecting profits at higher levels. Cautious, but positive outlook is advised for today
Milan Vaishnav,
Consulting Technical Analyst,
www.MyMoneyPlant.co.in
+91-9825016331
milanvaishnav@mymoneyplant.co.in
milanvaishnav@yahoo.com
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