Nifty Hourly Chart

Nifty extends consolidation and forms Doji candle for the third consecutive week

by Mitali Dutta on Miscellaneous

The index formed a doji pattern in the weekly chart for the third consecutive week and ended on a weaker note on Friday mostly driven by Banks and IT.

However, a lot of under performers including pharma, PSU banks, telecom, etc saw buying interest after some relief from the government with various problems which led to slowdown in the recent past.

Nifty Hourly

The index entered in a consolidation mode in this month and break either side of the range may trigger fresh momentum. Probable support in the short term comes at 200 Hourly SMA; break below which next crucial support comes at 11650-11700.

On the upside, probable resistance comes at 12050 above which Nifty will enter in a new territory. Technical parameters including Stochastic, RSI, MACD and CCI are trading close to the oversold area and suggest weakness in the short term.

Nifty Hourly Chart
Nifty Hourly Chart

Nifty Daily

Nifty faced resistance from the double top area in the daily chart and the consolidation is likely to continue until it breaks either side of the range 11800-12050. The index also violated the uptrend line and likely to see some weakness in the short term.

The index bounced last day from 20 MA at 11877 which is likely to act as an immediate support and next support comes at 11800 which is the lower end of the rectangle pattern. Probable resistance comes at 12050 which are likely to act as a crucial resistance; break above which may lead to fresh momentum.

Nifty Hourly Chart

Nifty Weekly

In the weekly chart, the index is forming Doji pattern since last three consecutive weeks which suggest indecision. Most technical parameters including RSI, MACD, Stochastic and CCI are trading in the overbought area and look strong as per technical parameters.

Nifty Weekly Chart
Nifty Weekly Chart
Nifty Tech Table
Nifty Tech Table

Disclaimer

Elearnmarkets.com wants to remind you that all our content is created solely for the purpose of education. No strategy, stock, commodity, fund or any other security discussed here is any way a recommendation for trading or investing. Elearnmarkets.com will not be any way responsible for trading losses incurred by any individual or entity for trading with real money. Please take advise of certified financial advisers before trading or investing.

Please leave a comment

*