As expected due to the RSI divergence as well as to retest the resistance we broke yesterday, we retracted about 300-400 points. Check my last post, I had predicted a retracement until the trend line.
The rally should continue towards ATH since Nifty is already at its ATH as per the Dow theory mentioned below.
However if the global que turns negative due to the rise in the Covid cases and If we breach the support of the trendline we may see Bank nifty coming down to fill the gap shown in the chart.
Overall I will wait for the price action and market decide the path. Please analyze for yourself, this is for learning only. NOT A FINANCIAL ADVICE.
Happy to help if you have any questions.
Happy Trading Folks !
Please like the idea and follow me to encourage me to continue this daily series of technical analysis for Bank Nifty !
DOW THEORY: The Dow theory is a financial theory that says the market is in an upward trend if one of its averages (i.e. industrials or transportation) advances above a previous important high and is accompanied or followed by a similar advance in the other average.
The rally should continue towards ATH since Nifty is already at its ATH as per the Dow theory mentioned below.
However if the global que turns negative due to the rise in the Covid cases and If we breach the support of the trendline we may see Bank nifty coming down to fill the gap shown in the chart.
Overall I will wait for the price action and market decide the path. Please analyze for yourself, this is for learning only. NOT A FINANCIAL ADVICE.
Happy to help if you have any questions.
Happy Trading Folks !
Please like the idea and follow me to encourage me to continue this daily series of technical analysis for Bank Nifty !
DOW THEORY: The Dow theory is a financial theory that says the market is in an upward trend if one of its averages (i.e. industrials or transportation) advances above a previous important high and is accompanied or followed by a similar advance in the other average.