MARKET REPORT March
23, 2015
The Markets spent an correction session on lower volumes on
Friday as it opened lower and drifted for the remaining part of the entire
session to end yet another day of modest losses. The Markets saw a modestly
negative opening and after opening negative, the Markets converted itself in to
a falling channel and remained in downward trajectory. It went on to form the
gradual lows and by the end of the session, it went on to form the day’s low of
8553. No major recovery was seen and the Markets finally ended the day at
8570.90, posting a net loss of 63.75 points or 0.74% while forming a lower top
and lower bottom on the Daily Bar Charts.
MARKET TREND FOR MONDAY, MARCH 23, 2015
Against the expected levels of 8695 and 8740 as
resistance and levels of 8620 and 8575
as immediate supports, the market remained more or less in this range previous
trading session.
For today, Pattern Analysis
throws up some sign of weakness on the Daily High Low chart of Nifty.
The chart exhibits a minor negative breakdown, as market failed to cross and close above
important resistance of 8644 previous trading session.
Markets are poised for a flat opening with no significant
bias on either side.
On Candle Charts, a black body occurred as Market closed lower than they opened and the he
steady downward pattern is bearish.
Important indicator MACD is
bearish since it is trading below its signal line. MACD is in this bearish mode since last nine trading sessions. RSI also exhibits some weakness. The current value for the 14 period RSI is
40.4456 has just reached its lowest value in the last 14 period(s). This is bearish as this is a Failure Swing caused by support
penetration.
Thus overall,
combined technical reading of Nifty signals that weakness will continue
in the market today, at least in the
initial trading hours. The up move will
face resistance at 8644 and markets are
likely to find support at 8513 levels.
It is advised to be
cautious at every highs today in the Market.
Also worth noting is that markets are approaching its strong
support on charts in forms of Patterns and Moving Averages and now it remains to be seen whether these
supports are respected or breached this
week.
Milan Vaishnav,
Consulting Technical Analyst,
Af. Member: Market Technicians Association (MTA), USA
Af. Member: Association of Technical Market Analysts, INDIA
www.MyMoneyPlant.co.in
Af. Member: Market Technicians Association (MTA), USA
Af. Member: Association of Technical Market Analysts, INDIA
www.MyMoneyPlant.co.in
+91-98250-16331
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