NIFTY
Last Two Barrs (Week of 17th and 23rd November 2020) Of The Weekly Chart Of Nifty Spot Are May Be The Indications Of Beginning Of The Supply And A Good Correction After A Descent Rally Will Be Near.
Why I am saying this will be the beginning of the supply, well look at the range marked which starts from the week of 23rd March 2020 and end at 09th November 2020 and try to observe the price range of each candle those were looking good while they were moving up and closing of those candles were also descent (near the high of the candle) and you can clearly say there is no hurdle for prices to move up.
Now all of a sudden, “not actually though, as there is nothing which happens suddenly in stock market its all pre planned”, if we see last two weeks candles and try to compare with them with the trading range mentioned above you will notice there is definitely some weakness appearing for higher prices now.
There are few more things which are in favor of this view, one of which is that index now trading at its lifetime high, almost 700 points up from last lifetime high and second one is Trend Line which is now acting like a good resistance.
Do note one think, these all things does not mean we are going to see correction right a way in coming weeks (well it may also be depends on smart money’s mood) it may take some time for smart money to unload descent amount of supply and once they done it will show good correction.
Prices may churn for a while and we will see mushrooming top forming on top (which may create minor new high) at least on daily chart.
Consider last two weeks(Week of 17th and 23rd November 2020) high and low as which are 13145-12730 a range for NIFTY spot where we will see retailers getting trapped in to psychology of HOPE.