Weekly technical Analysis for week ended 28^th March 2015.

Nifty for past three weeks is continually falling and the closing was at the lowest of the day which is an indication that the bears are ruling the market and are trying all means to take the market down. One important thing has happened in the market during the current weak, nifty has moved below 100 day EMA for the first time after one year which is a bearish indication. Previously in Feb 14 it moved below it and immediately in market it moved above it. This time it has moved below 100 day EMA in the month of March 15. We have to see whether the market reverses and move above it in the                                                                                           coming week. If it does so then it would be some good news for the bulls. Now if it doesn’t then it would be heading towards 200 day EMA which is at 8111 as of now. 200 day EMA should provide good support for the market as it has been doing for past two to three years. If 200 day EMA is violated then we can be sure that bears would tear into the market. S

Another scenario which is unfolding as of now which is pointing towards probable bearish scenario.20 day EMA is on the verge of moving below 50 day EMA. As of now 20 is above 50 but whenever cross over occurs that would point out to bearishness in the market. So the coming weeks is going to be very crucial as it has chances of giving the probable direction for the coming months. So the coming month of April is going to be very very crucial for the market as it can be gateway to bull and bear market. So keep tracking the market.

 

 It can be seen in the above chart, the blue circle is showing the movement below 100 day EMA and the yellow circle is showing the probable movement of 20 day EMA  below 50 day EMA. Wait and watch for the coming month which is going to be very interesting.

Mahiidar M

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