Daily Market Trend Guide -- Tuesday, March 24, 2015

Daily Market Trend Guide                                                        Tuesday, 24 March 2015

MARKET REPORT            March 23 2015

The Markets saw a completely lacklustre session as the Markets headed in no direction while ending the day with modest losses. The Markets saw a positive opening and formed the intraday high of 8608.35 in the very early minutes of the trade. After this, the Markets traded in a very narrow and capped range in sideways trajectory while heading nowhere. The Markets continued to trade flat until afternoon trade after which it slightly dipped into the negative. It did not see much downside either while it formed the intraday low of 8540.55. Even this was spent in a very narrow and capped range as the Markets headed nowhere and remained completely directionless. The volumes too continued to remain lower. It finally ended the day at 8550.90, posting a net loss of 20 points or 0.23% while forming a slightly lower top and lower bottom on the Daily Bar Charts.

MARKET TREND FOR TUESDAY, MARCH 24 2015

In previous trading session, the market remained exactly in the range expected. Also,  as expected, the weakness continued, with lackluster trading though the day.

Technical Analysis clearly indicates that markets today are poised for an important trading session .

Pattern Analysis of Daily High Low Chart of Nifty   shows that the during the current correction, markets have entered in a short range. The upper  level of this range  is 8644  with lower side being 8508.

For today, the Candles Charts a black body occurred with pattern being steadily downward and bearish.  Important Indicator RSI continues to be bearish since last almost ten trading sessions and also continues to exhibit Failure Swing as The RSI has just reached its lowest value in the last 14 periods  This is bearish. MACD too remains bearish since it is trading below its signal line.

Markets are poised to open on a slightly negative note  today.  As foretold from here, the markets experienced  technical correction. But as we have mentioned in yesterday’s edition of Daily Market Trend Guide, the markets are very near to its major support points ,  as indicated both by Pattern Analysis and Moving averages.

Pattern Analysis shows major support for the market at the lower side of the Rectangle the level being  8508 – 8513. Another major and very important support is the 100 Day Moving Average of Nifty, which is 8520 as of today. These levels, that is the range of 8508 – 8520 are expected to  act as major supports for the markets during this corrective phase.

Going by the above technical analysis of Nifty, we expect today’s session to be very important . The above important supports are going to be tested today. It remains to be seen, whether they are breached or  markets takes support at these levels and correction takes a breather.

For today be cautious keeping the above levels in mind, alertness at every rise  and 8644 as resistance at upper levels.

Milan Vaishnav,

Consulting Technical Analyst,
Af. Member: Market Technicians Association (MTA), USA
Af. Member: Association of Technical Market Analysts, INDIA

www.MyMoneyPlant.co.in

http://milan-vaishnav.blogspot.com

+91-98250-16331

milanvaishnav@mymoneyplant.co.in

milanvaishnav@yahoo.com