Nifty Inverted H&S

KiranBharadwaj · #1 29th April 2008, 01:33 AM

Hi,

I have been trading since last 4-5 months and following various threads in this forum since beginning. I read few articles and books on Technical Analysis and I spend few hours every day analyzing charts. Here I would like to present my analysis on Nifty and request you to comment, correct my work. Would really appreciate guidance from seniors and every one. Please follow the attached chart:

So far:
1. Nifty formed Inverted Head & Shoulders pattern on daily charts since Feb end
2. Gave a +ve breakout on 17th April, closing above neckline and sustained it since then
3. Hit resistance at 200 DMA today (28th April)

Looking ahead:
1. Should see a dip in a week to re-test the neckline
2. Should head upto 5500, if it could breach resistance levels at the then 200DMA and another strong resistance at around 5368

Thanks,
KB

rajaram.dilipkumar · #2 29th April 2008, 12:48 PM

Quote:

Originally Posted by KiranBharadwaj

Hi,

I have been trading since last 4-5 months and following various threads in this forum since beginning. I read few articles and books on Technical Analysis and I spend few hours every day analyzing charts. Here I would like to present my analysis on Nifty and request you to comment, correct my work. Would really appreciate guidance from seniors and every one. Please follow the attached chart:

So far:
1. Nifty formed Inverted Head & Shoulders pattern on daily charts since Feb end
2. Gave a +ve breakout on 17th April, closing above neckline and sustained it since then
3. Hit resistance at 200 DMA today (28th April)

Looking ahead:
1. Should see a dip in a week to re-test the neckline
2. Should head upto 5500, if it could breach resistance levels at the then 200DMA and another strong resistance at around 5368

Thanks,
KB

the pattern u have in the chart is not valid

KiranBharadwaj · #3 29th April 2008, 04:12 PM

Hi Rajaram,

Thanks for your comment, could you please help me with where I went wrong?

Thank you,
KB

rajaram.dilipkumar · #4 29th April 2008, 07:06 PM

Quote:

Originally Posted by KiranBharadwaj

Hi Rajaram,

Thanks for your comment, could you please help me with where I went wrong?

Thank you,
KB

for a h and s bottom no part of the pattern should be above the neckline and vice-versa for a h and s top(enc icici chart) .... also volume plays a critical part in h and s top or bottom formations which is not part of your chart..pls also note that timeframe plays an important part i.e. a h and s in weekly is more significant than a h and s in daily or hourly..will post an e.g of a h and s bottom when i find one.

sudoku1 · #5 29th April 2008, 09:15 PM

Quote:

Originally Posted by KiranBharadwaj

Hi,

I have been trading since last 4-5 months and following various threads in this forum since beginning. I read few articles and books on Technical Analysis and I spend few hours every day analyzing charts. Here I would like to present my analysis on Nifty and request you to comment, correct my work. Would really appreciate guidance from seniors and every one.
KB

friend...it would b prudent if u xpand ur obsevations with other technical indicaters or patterns as relying on the only a favourite pattern or indicater may sometimes prove fatal.
a good start though from the abv one.....do keep on upgrading the findings.

KiranBharadwaj · #6 30th April 2008, 08:26 AM

Bullish cup and handle in DLF

yesterday there was bullish break out.

KiranBharadwaj · #7 30th April 2008, 09:12 AM

Sorry didn't mention about the volumes, here is the updated attachment

Respected seniors please comment on my work .

KiranBharadwaj · #8 30th April 2008, 09:36 AM

Quote:

Originally Posted by rajaram.dilipkumar

for a h and s bottom no part of the pattern should be above the neckline and vice-versa for a h and s top(enc icici chart) .... also volume plays a critical part in h and s top or bottom formations which is not part of your chart..pls also note that timeframe plays an important part i.e. a h and s in weekly is more significant than a h and s in daily or hourly..will post an e.g of a h and s bottom when i find one.

Thank you very much for taking time and explaining with an example.

rajaram.dilipkumar · #9 30th April 2008, 11:25 AM

liked your dlf chart .......as mentioned before example of inv h and s example...hope this is helpful to you.

oxusmorouz · #10 30th April 2008, 11:54 AM

Quote:

Originally Posted by KiranBharadwaj

Bullish cup and handle in DLF

yesterday there was bullish break out.

What is that grey coloured indicator left of the chart, on the top window?