Wednesday, February 3, 2010

Breakdown day ?

I am looking at a lower level chart, compressed to have a better idea of what is in store. The main points worth mentioning are as follows.

 

  1. The 5th touch of the swing; that is; at the top trend line, failed to TT.
  2. It looks like forming A Head and Shoulders At the moment, whose confirmation will be a breakdown below "B"
  3. If the Breakdown as mentioned above happens, The BT will attract NIFTY towards it.
  4. You know what will happen if it pierces BT.
  5. As it stands, the rally is too close to an end.
  6. Considering the above points, a "soft start" can be expected tomorrow, which may accelerate towards BT as the time passes.

Disclaimer: The views expressed herein are to be used with your own discretion and neither analyst nor the publisher will be responsible for the outcome.

MASTERSTROKES