NIFTY H&S Pattern So Ready toward 15000 ?

NIFTY50 Chart Analysis: Head & Shoulder Pattern in HTF Points to Possible Downside Move

As of May 2, 2023, the ₹NIFTY is currently trading at ₹18150. However, a chart analysis of the higher time frame (HTF), particularly the 3-day and weekly charts, shows a head and shoulder (H&S) pattern forming, which could indicate a potential downside move soon.

Left Shoulder and Head Already Formed
The left shoulder has already formed, and the head has also formed, indicating a possible top. The chart analysis is now waiting for the formation of the right shoulder. If the right shoulder forms as expected, the ₹NIFTY will likely test the ₹17000 level again, which is the neck line support for the H&S pattern.

Neck Line Support and Major Support Level
The neck line support at ₹17000 is a crucial level to watch. If the ₹NIFTY breaks down this level, it could potentially see the ₹15000 level in the mid-term, which is a major support level in the higher time frame.

Key Levels to Consider
The support levels to watch out for are ₹17000 and ₹15000, while the resistance levels are ₹18250 and ₹18800.

Invalidation of the H&S Pattern
The H&S pattern will be invalidated if any higher time frame candle closes above ₹18250, indicating an inverse H&S pattern.

Conclusion and Takeaways
Based on the chart analysis, there is a possibility of a downside move soon in the ₹NIFTY. However, it is crucial to do your own research before making any investment decisions. Keep an eye on the neck line support at ₹17000 and the major support level at ₹15000. It is also essential to pay attention to the resistance levels at ₹18250 and ₹18800. Always remember to trade wisely and never blindly follow any chart analysis or predictions.

Follow us for More Quality Charts.
Thank you.