Hello Traders,
gapped higher today opening to 12004.75 and make a new intraday high @ 12038.60, but failed to hold that level. So, it closed @ 11999.10 and left a „Doji“ at chart, a typical sign of uncertain! Today`s a/d-ratio was at 0.96, while the TRIN closed at low 0.172. Often such low readings for TRIN indicate a coming phase of declining price.
From a technical perspective, we can see some interesting junctures.
We have a sideways to declining trendline at chart, connecting the high`s of 12103.05 from June 3, 12034 from November 08 and today. The first level was a possible wave „((b))“ high and the move from 10637 that start on August 23 has moved into that range. This behavior is compatible with a wave „x“ of one higher degree and makes the pullback corrective.
Second, the price has advanced within a trend channel and has move t the lower boundary of the channel, overall with the technical measurement indicating that an upside move, has come to an end or is close to do so! A drop off this channel below the 11800 levels indicates that the move has ended.
As before, a target range for a corrective setback is at or around the 11676-11564-11452, the latter one is close to a wave „4“ of lesser degree and the first is a 0.382 Fibonacci of the advance from 11090-12038.60.
Advancing above the 12103.05 indicates more buying pressure to come and new highs are possible!
I have inverted the INDIA VIX at the graph below the chart to show, how VIX is moving „sideways“. Normally after a phase of lower vola it will pop to the upside. So it could be possible, that VIX will spike to the upside in the coming days or so, which means that a phase of corrective setbacks could be next.
I will update the chart in the coming days.
Have a great week....
ruebennase
Feel free to ask or comment.
Trading this analyze is at your own risk!
gapped higher today opening to 12004.75 and make a new intraday high @ 12038.60, but failed to hold that level. So, it closed @ 11999.10 and left a „Doji“ at chart, a typical sign of uncertain! Today`s a/d-ratio was at 0.96, while the TRIN closed at low 0.172. Often such low readings for TRIN indicate a coming phase of declining price.
From a technical perspective, we can see some interesting junctures.
We have a sideways to declining trendline at chart, connecting the high`s of 12103.05 from June 3, 12034 from November 08 and today. The first level was a possible wave „((b))“ high and the move from 10637 that start on August 23 has moved into that range. This behavior is compatible with a wave „x“ of one higher degree and makes the pullback corrective.
Second, the price has advanced within a trend channel and has move t the lower boundary of the channel, overall with the technical measurement indicating that an upside move, has come to an end or is close to do so! A drop off this channel below the 11800 levels indicates that the move has ended.
As before, a target range for a corrective setback is at or around the 11676-11564-11452, the latter one is close to a wave „4“ of lesser degree and the first is a 0.382 Fibonacci of the advance from 11090-12038.60.
Advancing above the 12103.05 indicates more buying pressure to come and new highs are possible!
I have inverted the INDIA VIX at the graph below the chart to show, how VIX is moving „sideways“. Normally after a phase of lower vola it will pop to the upside. So it could be possible, that VIX will spike to the upside in the coming days or so, which means that a phase of corrective setbacks could be next.
I will update the chart in the coming days.
Have a great week....
ruebennase
Feel free to ask or comment.
Trading this analyze is at your own risk!