Company reported strong results for this quarter but stock failed to rally further & witnessed selling pressure at higher levels one should short once the trend line breaks.
There is also spinning top formation on daily chart with increased volume which suggests reversal may be on the cards.
If you see there dark cloud cover pattern on Dollar Index Weekly chart
Coupled up with MACD showing strong downtrend sign &
Parabolic Sar also indicating downtrend
so all in all DXY qualifies as short candidate.
XABCD pattern Analysis
It's clear speculation If banknifty retraces up from point B to Point C then it will go down to point D.
At point D Take long position
TP = 18524.
Check for confirmations from other indicators before taking long position at Point D like MACD & Parabolic SAR.
Bearish XABCD Pattern:
Short Level Entry - At point D.
Zone of 63.20-63.46 is good for short entry.
However Check for confirmation from other indicators like MACD & Parabolic SAR.
In trade try to turn odds in your favor & take confirmations from other indicators.
TP1 = 62.05
TP2 = 61.33
SL = 63.77
Axis is trading in the channel breaking which on either side would trigger long or short position accordingly
Similar goes with Banknifty. Actually axis & banknifty chart are by & large mirror of each other
Looking At weekly chart it seems that banknifty may fall further As MACD is in strong downtrend, Similar goes with daily charts, But the trend can reverse at any time so be careful keep eye on MACD direction.
As price closed below 20 period EMA at the same time MACD has also given sell signal
Be in short position till MACD reverses
Also notice that EURUSD is also looking bearish on the same time frame
Daily Chart Analysis
It can be that both Aroon & ROC are loosing their strength
Aroon up is weakning, ROC is also declining
so be aware those who have longed their positions
Weekly Chart Analysis
On the contrary view weekly is showing different picture
where Aroon down is loosing strength & ROC is rising