Tuesday, 16 June 2015

CNX Nifty - Is This The Bottom?

CNX Nifty has been heading lower since its peak in March 2015 at 9119 level. Its been nearly 66 days that the index has declined to its 2015 lows of 7958 level. The number 66 plays an important role in technical analysis as it is two third of 100%. In addition to this, the index has completed an Anti Shark bullish harmonic pattern. The PRZ of the pattern is 7933 - 7971 levels. In addition, we can also see a 'Last engulfing bottom' candlestick pattern, which indicates reversal in short term. The index is expected to bounce back to 8300 level until and unless it holds above 7850 on closing basis.

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