Nifty PSU Banks bulls seize the opportunity in the market dip. Analysis of the chart shows that the index has surpassed the short-term 21DEMA Channel, indicating a potential upward trend. Additionally, it appears to be forming a Rising-Three Candlestick pattern, a bullish signal that could be confirmed once the index breaches the 7,210 mark. Check out our detailed discussion in the following video: https://www.youtube.com/watch?v=ETPXQkMsbgs

On the stocks side, we ran the "All Chart Matrix" on RZone; here is the list of the stocks based on the scoring:

To learn about Harmonic Patterns, click here

Adani Ports 1,244 to 1,310
#BullishHarmonic

@Prashant Vaikunthe Great Sir

Source: RZone

Filter Criteria: P&F Daily 0.25% X 3 from Nifty200
Data as per closing of 14-05-2024

INFOSYS

WIPRO

TECHM

LTIM

Breakout Level - 85
DBS - 65
Vertical Count - 145/265

You can join my Harmonic Trading Course here https://gurukul.definedgesecurities.com/courses/harmonic-trading-patterns-simplified/

As per the Relative Strength Index (RSI) indicator, only 50% stocks are in positive trend from Nifty750 (Nifty500+ MicroCap 250) on the MONTHLY chart.

The RSI is a widely used momentum oscillator that measures the speed and change of price movements. Developed by J. Welles Wilder, the RSI oscillates between 0 and 100 and is typically used to identify overbought or oversold conditions in a market. A 14-period RSI is a common choice among traders, providing a balance between sensitivity and reliability. To enhance the RSI's utility, traders often use a 9-period simple moving average (SMA) as a signal line, facilitating the identification of positive and negative crossovers.

Positive Crossover: A positive crossover occurs when the 14-period RSI crosses above its 9-period SMA. This crossover indicates increasing bullish momentum and suggests a potential upward price movement. It is often seen as a buy signal because it shows that the RSI is gaining strength relative to its recent average, suggesting that buyers are becoming more active.

Negative Crossover: Conversely, a negative crossover happens when the 14-period RSI crosses below its 9-period SMA. This indicates increasing bearish momentum and suggests a potential downward price movement. It is typically interpreted as a sell signal because it shows that the RSI is losing strength relative to its recent average, suggesting that sellers are gaining control.

The crossover can help in understanding the trend's direction and strength, categorized into neutral, positive, and negative trends.

Neutral Trend: A neutral trend is characterized by the RSI hovering around the 50 level, with frequent crossovers between the 14-period RSI and the 9-period SMA. In a neutral trend, the market lacks a clear direction, and the price movements are generally range-bound. Traders might adopt a wait-and-see approach or engage in short-term trading strategies to capitalize on small price fluctuations.

Positive Trend: In a positive trend, the RSI often stays above the 50 level, and the 14-period RSI consistently crosses above the 9-period SMA. This trend indicates sustained bullish momentum, and traders look for buying opportunities. The positive crossovers during this period confirm the strength of the uptrend and suggest that the price is likely to continue rising. However, traders should also watch for overbought conditions (RSI above 70) that might precede a reversal or a pullback.

Negative Trend: In a negative trend, the RSI typically remains below the 50 level, and the 14-period RSI frequently crosses below the 9-period SMA. This trend signals sustained bearish momentum, and traders look for selling or short-selling opportunities. The negative crossovers during this period reinforce the strength of the downtrend and indicate that the price is likely to continue falling. Traders should be cautious of oversold conditions (RSI below 30), which might signal a potential reversal or a temporary rebound.

We ran the RSI scanner in RZONE to check the trend of the stock on the monthly chart, and the results were shocking.

Though the markets are trending bullish, only 373 out of 750 stocks are bullish are per RSI while 42 remain Neutral and 335 remain bearish.

• Bullish Dragon
• Triangle Breakout
• Above 62HEMA Channel

Below support, the trend may change on these stocks.

Understand the role of trading volume in the stock trend. Learn why the first hour's volume is important, how rising volume above the 20-bar average indicates trending stocks, and how to leverage RZone for intraday and swing trading opportunities.

Read here: https://www.definedgesecurities.com/blog/rzone/why-volumes-are-important-in-trading/

I had my eye on PVR in mid-June when my 62-DEMA Channel scanner flagged the stock.

Today's price action confirms a bullish breakout above the prior high, solidifying the unconventional triple-bottom pattern. The close above 1451 will confirm the breakout.

Recent low - 1415

@Prashant Vaikunthe Thanks for following us

The Bank Nifty has been oscillating between 52,000 and 53,000 over the past few trading days, following its recent high of 53,301. This period of consolidation reflects a tug-of-war between the bulls and the bears, leaving traders on edge as they await a decisive move.

A closer look at the index's constituents reveals that HDFC Bank has been a significant drag, pulling the index lower. In contrast, ICICI Bank and Axis Bank have contributed positively, attempting to counterbalance HDFC Bank's impact. Given HDFC Bank's substantial weight in the index, its performance heavily influences the overall movement of the Bank Nifty.

The technical chart of Bank Nifty indicates a critical support zone between 52,000 and 52,180. A break below this level would likely hand the advantage to the bears, signalling a potential downturn and invalidating the recent high of 53,301 as a false breakout. On the other hand, maintaining support above this zone could keep the bulls hopeful for another attempt to breach the recent highs.

Options traders might find a strangle short strategy appealing while the index remains confined within this range. This strategy could be profitable if the Bank Nifty continues to hover between 52,000 and 53,000. However, trending traders should remain patient, acting only when there is a clear breakout on either side of this range to capture the next directional move.

Federal Bank leads the table on the RS Matrix, followed by Axis Bank and ICICI Bank.

It's been 10 days, and Bank Nifty continues to trade within the range.

For the same period, the US Bank Index is up over 5%.

Pharma stocks are trending bullish but the bearish harmonic on the stock indicates the pause to the momentum.

The bears may capitalize the reversal and look for short-on-rise opportunity while the bulls can be in the game on the break of 7,035.

To enroll for Harmonic Course, Click here

Stocklist - 27th July 2024

The Bearish Gartley - PRZ @ 24,650-24,750

Pattern Negate above 24,900

Hey, Gift Nifty predicts the market will open about 300 points higher, around 24,400. By the way, here are some stocks with a bullish candlestick pattern called Piercing.

Source: Zone Mobile

Stocklist - 31st August 2024

One sector that has garnered significant attention amid this shift is the India Digital sector, represented by the Nifty India Digital Index. This index tracks companies that are at the forefront of India’s digital revolution, including those in IT services, e-commerce, digital finance, and communication technologies. As India continues its push toward digital transformation, the companies in this index are well-positioned to capture growth from increasing internet penetration, digital payments, and the broader push toward a tech-driven economy.

Technical Outlook

Nifty India Digital Index

On the Nifty India Digital Index 0.25% X 3 Point & Figure (P&F) Daily Chart, a clear bear trap is visible after the Anchor column formation. This trap, positioned above the moving average, is a strong technical signal of a potential bullish continuation. The close above the crucial 9,600 level will confirm an anchor column breakout, suggesting that bullish momentum is likely to resume in the coming sessions. Traders and investors should closely watch this level as it could mark the beginning of a fresh upward trend in digital stocks.

7 Leaders in the Nifty India Digital Index

We utilized the “All Chart Matrix” tool to analyse the constituents of the Nifty India Digital Index. This comprehensive analysis ranks stocks based on technical strength, and the following top seven stocks stood out with the highest score of 15:

*as per close on 10th Sept 2024

These companies are leaders in the digital and IT sectors, each playing a crucial role in India’s digital economy. Their strong technical position suggests they may continue to perform well as the market trends upward.

P&F Pattern Setup on Metal Stocks

Bullish Head & Shoulder and Trend Getting Stronger on Heikin Ashi Chart

JindalStel 1040CE - TTB Breakout

@Prashant-Vaikunthe Yes. The counts were 29 and 39, both achieved.

Technically, the Nifty Realty daily chart witnesses the breakout as it reverses from the 62DEMA Channel.

On the DeMAP, few pf the Nifty Realty constituents are gaining momentum and trend.

Bank Nifty and Pvt Banks leading the day.

• Range Breakout
• 62EMA Channel Breakout

GodrejProp 3100CE Oct

Stock appeared on Trividh, but do check Liquidity

@PRANAV GULABANI Yes

Stocklist 21st Sept 2024

Stock list 5th Oct 2024

Bullish Entry Above 24,808 (F)
Pattern Negates Below 24,600 (F)

Stocklist 19th Oct 2024

The Nifty50 Daily 0.25% X 3 Point & Figure (P&F) chart shows some promising technical signals.

The index trades near a crucial support level at the D-Smart Line, 24,557. After hitting a low of 24,567, the Nifty rebounded and closed the week at 24,854, indicating a potential bullish reversal.

If the Nifty can maintain support above 24,557 and close above 25,175, it could signal a renewed uptrend.

Additionally, the PMOX is still showing bullish signs, suggesting that there's still some strength in the market. Momentum is a key factor in market trends, and as long as PMOX remains positive, there's hope that the Nifty will recover and regain its upward trajectory this Diwali.

@PRANAV GULABANI 200

On the Heikin Ashi daily chart of Nifty50, bearish exhaustion is evident at the support zone of the 100DEMA Channel (created using the 100DEMA High and Low), indicating that bears respect the short-term pullback within the long-term bullish trend.

However, this exhaustion does not confirm a bullish reversal until a Bullish Heikin Ashi candle closes above the 100DEMA (High) at 24,628.

Additionally, the oversold RSI supports the potential for reversal, but awaiting confirmation is crucial.