Seems like we will see bounce from current price reasons are as follows:
1)Triple negative divergence on RSI
2)End of 5 wave impulsive decline.
3)Breach of down slopping trendline.
4)Price taking support near previous support level.
5)Price crossing 9 day ema@1444.(Although close should be considered).
6)Bullish engulfing pattern on daily chart.
Structurally we are either in an 5 wave impulsive decline of which 3 waves are done or we might have ended a regular flat correction around 1420 levels.Going ahead we have 2 scenario's which can unfold.One is bounce in the form of wave 4 and other is bounce in the form of wave X.Both the scenario is pointing towards price target of 1550(38% retracement of last swing).
One can go long at cmp of 1450 with a closing stop of 1414 on the down side and can expect target of 1500 and 1550 in coming 2-3 weeks.
Disclaimer:This are my views,no position should be build or exited on the basis of this analysis.
1)Triple negative divergence on RSI
2)End of 5 wave impulsive decline.
3)Breach of down slopping trendline.
4)Price taking support near previous support level.
5)Price crossing 9 day ema@1444.(Although close should be considered).
6)Bullish engulfing pattern on daily chart.
Structurally we are either in an 5 wave impulsive decline of which 3 waves are done or we might have ended a regular flat correction around 1420 levels.Going ahead we have 2 scenario's which can unfold.One is bounce in the form of wave 4 and other is bounce in the form of wave X.Both the scenario is pointing towards price target of 1550(38% retracement of last swing).
One can go long at cmp of 1450 with a closing stop of 1414 on the down side and can expect target of 1500 and 1550 in coming 2-3 weeks.
Disclaimer:This are my views,no position should be build or exited on the basis of this analysis.