USOIL broke out from the past 10yr old trendline in February and after giving a retest it has been moving smoothly on the upside now what next??
USOIL MONTHLY
USOIL registered it’s top in 2008 at $147 and after that it has been going down only with Lower High Lower Low in place and in April we all saw the Negative prices of crude oil which means that the Structure of LH LL was quite strong but recently it has triggered the LH and LL by closing above $26.
USOIL MONTHLY
If USOIL keeps on racing with this pace we might see $100+ soon on the charts [Technical View]. But as of now it is near a very long term supply area and Fib resistance zone [0.5-0.618] so in the coming weeks we are estimating consolidation near this area only as when it touched the zone bears immediately tried to crushed the bulls and USOIL was down by 10$ and a very fast recovery is seen on the charts by the Bulls. If we manage to close above the zone on monthly basis very extended targets will be opened up for USOIL for a bearish view as of now no reversal sign is seen on the charts overall trend looks quite strong but the question is that will it sustain as USOIL was in a very long duration Bear Market from July 2008 to April 2020. July 2008 High- 147.27. April 2020 Low- 0.01.
Disclaimer- This post is written for educational purposes only kindly consult your financial advisor before making any decisions. PEACE.
After 4th of June, the trend for Banknifty is not quite clear whether to Buy the Dip or Sell on rise as one day it moves smoothly and the very next day it gets volatile, Kind of non directional within a range considering the previous month’s data.
BANKNIFTY DAILY
This is the daily chart of Banknifty where the 1st Bullish Bat pattern played very nicely on both long as well as short side. Now we’ve another valid Bearish Bat pattern which will stay valid above point B which is [34287] and target for this pattern is the red PRZ zone. [Potential reversal zone].
BANKNIFTY WEEKLY
Banknifty has not only managed to close above B point but also 0.618 retracement [Swing High to Swing Low] which opens the gates for our Target- 36800.
Banknifty OI data shows that there is not much difference between CE and PE writers at 35000 strike at the moment but we’ve 4 trading sessions left and this data keeps on changing.
Open interest
Bearish view-
In a larger timeframe it is just consolidating near a very strong resistance of more than 10 years and we’ve observed that whenever the consolidation happens near ATH the next breakout or breakdown move is quite trendy.
After 4th of June the Trend for Banknifty is not quite clear whether to Buy the Dip or Sell on rise as one day it moves smoothly and the very next day it gets volatile kind of non directional within a range if we look at the previous month data.
BANKNIFTY DAILY
This is the daily chart of Banknifty where the 1st Bullish Bat pattern played very nicely on both long as well as short side now we’ve another valid Bearish Bat pattern which will stay valid above point B which is [34287] and target for this pattern is the red PRZ zone. [Potential reversal zone].
BANKNIFTY WEEKLY
Banknifty not only has managed to close above B point but also 0.618 retracement [Swing High to Swing Low] which opens the gate for our Target- 36800.
Banknifty OI data shows that there is not much difference between CE and PE writers at 35000 strike at the moment but we’ve 4 trading sessions left and this data keeps on changing.
Open interest
Bearish view-
In a larger timeframe it is just consolidating near a very strong resistance of more than 10 years and we’ve observed that whenever the consolidation happens near ATH the next breakout or breakdown move is quite trendy.
BANKNIFTY MONTHLY
Our Target for Banknifty remains the same 42222- https://www.tradetales.in/banknifty-42000/
Disclaimer- This post is written only for educational purposes kindly consult your financial advisor before making any decisions. PEACE.
The Nifty is the flagship benchmark of the National Stock Exchange (NSE), which is a well-diversified index, comprising top 50 companies in terms of free-float market capitalization that are traded on the bourse. It is supposed to reflect the health of the listed universe of Indian companies, and hence the broader economy, in all market conditions. -ET
View- Bullish. Let’s look at the thorough technical analysis of Nifty 50. The current market price of nifty as on 04-07-2021 was 15722 and we are expecting it to reach a target of 30000 in 2-3 years.
NIFTY MONTHLY LOG SCALE
Nifty registered a top on 01-Apr-1992. After that, the prices moved in a channel till 01-Jul-2005 and then comes a massive bull domination phase for almost 4 years. If I consider the data from channel bottom and after that market crashed in 2008 which looks like a channel retest in long term charts and then again the price moved in an upward channel like before.
NIFTY MONTHLY LOG SCALE
In this chart we’ve tried to estimate the time for how the long price stayed inside the first channel and have compared it with the second one and it looks like both the channels took the same amount of time inside the channels. #Stunned So, this gives us a rough idea that for 2-3 years bulls are going to dominate the Nifty but smaller pullbacks and shakeouts cannot be ruled out even if Nifty rallies ferociously.
NIFTY MONTHLY LOG SCALE
After coming out from the first channel it is quite visible how nicely it went up and more than doubled in just a span of 2 and a half year’s. The same might happen in coming years if we are analyzing the price structure correctly. But for this thing to happen global cues also have to support, so let’s look at the chart of NYSE.
NYSE Log scale
NYSE is moving in a very nice upward channel without breaking the lows despite testing it many times. For this chart the analysis is quite simple: As you can see, there’s a midway between highway for bulls and lower lane for bears and whenever the price stayed above the midway, It has rushed madly in the upper lane of bulls. A breakout is yet to happen here and we’ll see it in the coming weeks that how it deals with this stiff resistance and if that happens we’ll have the support from global cues as well.
NYSE Cyclical chart
If we analyze the price structure here, you can see clearly that how beautifully these 2 patterns are constructed and price is behaving the same way like earlier. That’s the reason why Technical Analysts say “History repeats itself”.
DOW JONES INDUSTRIAL AVERAGE WEEKLY
Dow Jones also looks set in weekly timeframe to move much higher as the bigger reverse symmetry is tested and it has also given a Flag breakout. #BULLISH
Disclaimer- This blogpost is shared purely for the educational purposes and we are not liable for anybody’s profit or loss.
This study is totally done only on the basis of Technical Analysis. We know that a lot of factors like Economic conditions, Politics etc. are going to influence if Nifty has to double from here. It depends from person to person that how they want to play this Trend. If you are interested to know the different ways how this Trend can be played for much higher returns and low risk, Don’t wait just shoot up an E-mail at- info@tradetales.in PEACE.
After underperforming, Nifty for quite a while now; Banknifty has given a breakout on Friday after the monthly expiry of June series. Now in coming months what can we expect from Banknifty?
Pattern name- Crab Harmonic pattern
This is the daily chart of Banknifty where we can see that after breaking out from the B point of Crab pattern, it smoothly retested and started moving up and also slashed the Descending trendline. Further, we can expect Banknifty to reach the Target of point D of this pattern which is at 42222 and if that happens we can see Banknifty outperforming Nifty for coming months. Pattern invalidation – DAILY close below point C (32055).
June series top and bottom analysis
June series price action was very volatile in Banknifty but June series top and bottom was well estimated by us as shown in the above chart and now we’re completely bullish on Banknifty and expecting HH and HL with good momentum.
BANKBEES
Bank bees look very attractive here at this point for medium term investing for a target of 417- 420.
For queries you can mail us here at- Info@tradetales.in
Disclaimer- This post is for educational purposes only kindly consult your financial advisor before taking any decisions we’re not liable for anyone’s profit and loss. PEACE.
