Market Trend Lab

IMPORTANT POINTS FOR TRADING In daily chart , inverse head and shoulder pattern is developing. On 3rd August, banknifty has made  Long Lower Shedow Candle  near the channel support which is interpreted as bullish signal and also confirmed by strong move thereafter. Banknifty is overbought in hourly chart hence some pull back is expected soon. Today if sustains above  10600-620  than it can move upto  10680---10700 zone . And on downside it has support at  10435 .

IMPORTANT POINTS FOR TRADING In daily chart , inverse head and shoulder pattern is developing. On 3rd August, banknifty has made  Long Lower Shedow Candle  near the channel support which is interpreted as bullish signal and confirmed by gap up opening yesterday. Today if sustains above  10425  can move upto  10570---10610 . And on downside it has support around  10310-10350 zone .

IMPORTANT POINTS FOR TRADING In daily chart , inverse head and shoulder pattern is developing. On 3rd August, banknifty has made Long Lower Shedow Candle  near the channel support which is interpreted as bullish signal but also requires a follow up confirmation. Today banknifty above 10384 can move upto 10445-475 zone and sustaing above 10475 can rally upto 10555-570 zone. Now on downside it has support around 10270-10310 zone .

Yesterday Banknifty opened gap up @10286.80 i.e. above Agni level and JBNSAR for the day. During the day posted weekly chart and suggested that strength will be above 10440 only and it showed it power and made high of 10526.55. In weekly chart Banknifty has made Long Lower shedow candle twice which is interpreted as a bullish signal  but it also requires follow up confirmation.    (weekly  chart) candlesticks with long lower shadows  A candlestick (black or white) where its lower shadow is two-thirds  or more of the total candle’s range.  It indicate that sellers dominated during the session and drove prices  lower. However, buyers later resurfaced to bid prices higher by the  end of the session and the strong close created a long lower shadow.  That is rejection of  lower prices and is therefore seen as a bullish signal.