Nifty – 17 Feb 2017

The outlook remains the same over the past days. The substantial bearish divergence and vicinity of the major peaks around 8700 make a correction very likely. Furthermore, the intraday flush-high above the intraday peaks (8830) support this idea considerably. Prepare for a move back to ~8100<>8000.

Such a correction is welcome, healthy and not serious for the near term outlook. However, for the long term outlook this could very well function as conformation of a completion of the B-Wave recovery and thus start of a much longer, deeper and more serious correction (easily towards ~7500). Such a decline is far from certain at this point, but risks are mounting while upside potential and trend strength is waning.

  • Primary trend: neutral
  • Outlook: long-term uncertain, trend reversal probable
  • Strategy: exit-long long, prepare for correction
  • Support: 8452 / 8133 / 7940-
  • Resistance: 8762 / 8910 / 8960+

Intraday 3-hrs chart NSE Nifty

Daily chart NSE Nifty

 

Share this post:

Related Posts

Comments are closed.