NIFTY50 // Breakdown or Reversal?

13 thg 11, 2024

https://www.tradingview.com/chart/d5w5k0Pf/

Everyone has seen a severe breakdown in Nifty in recent days and approx. 11% correction. But hey, wait a minute.
Did you checked the level where it is holding right now?
It is the same level from where it has taken a pause and breakout in past. Meaning, we can consider it as a strong buying zone.
Along with the above, it is also a level where 38% retracement is there from Fibonacci retracement perspective.
Consider the level of support at 23500, if Nifty doesn't goes below from here next week, be ready for a resume of bull run again.
So, the next resistance will be : 24500, 26300, 28200, 30000
and, the support will be : 22500, 21600, 21000.

Please note, there is an open gap between 20300-20500. That is the only concerning area. If it goes there to fill the gap, the last support will be 19900.

So, wait for the end of the current weekly candle. If you could see there are approx 6 divergence too on weekly candle which suggest change in situation.

Good luck.

Thanks
StoxWare team