NIFTY has been trading in a ascending channel for the last few months, properly following and respecting the course of the channel until yesterday when the new variant of the corona virus has seen a negative impacts on the global front.
There was a gap down and also a breakdown as we can see the red candlestick has clearly breached the lower support of the channel.
Points supporting a Breakdown: (i) 17700 Head and Shoulder Pattern breakdown (ii) Ascending channel breakdown
Hence Indicating NIFTY in a down trend.
Till where can NIFTY fall: Support levels are as follows- (i) 17000 immediate support psychological support
(ii) 16900 0.382 Fibonacci retracement support
(iii) 16700 a big support of the previous breakout zone.
(iv) 16375 Fibonacci support
Omicron variant of Covid-19 still seems to hamper international tensions, so trade cautiously and don't go against the trend.
Have a happy week ahead and Happy Trading.
There was a gap down and also a breakdown as we can see the red candlestick has clearly breached the lower support of the channel.
Points supporting a Breakdown: (i) 17700 Head and Shoulder Pattern breakdown (ii) Ascending channel breakdown
Hence Indicating NIFTY in a down trend.
Till where can NIFTY fall: Support levels are as follows- (i) 17000 immediate support psychological support
(ii) 16900 0.382 Fibonacci retracement support
(iii) 16700 a big support of the previous breakout zone.
(iv) 16375 Fibonacci support
Omicron variant of Covid-19 still seems to hamper international tensions, so trade cautiously and don't go against the trend.
Have a happy week ahead and Happy Trading.