The SROC indicator for Nifty has retraced to the neckline of Head & shoulder pattern formed on it.
We all have observed the fall in Nifty when the neckline was broken & then the recent up move.
As per the pattern definition, IF the indicator moves down from here then there is a great chance of big fall. The rise above the Neckline will force Bears to cut short & Nifty ca witness new high.
Normally Bears waits for this retracement till neckline for shorting again. Watch out as it coincides with the F&O expiry.
Chart is drawn using closing rate of Nifty.
Disclosure: I may have position or maybe trading in above said stocks for myself/ family members / friends / Associates.
We all have observed the fall in Nifty when the neckline was broken & then the recent up move.
As per the pattern definition, IF the indicator moves down from here then there is a great chance of big fall. The rise above the Neckline will force Bears to cut short & Nifty ca witness new high.
Normally Bears waits for this retracement till neckline for shorting again. Watch out as it coincides with the F&O expiry.
Chart is drawn using closing rate of Nifty.
Disclosure: I may have position or maybe trading in above said stocks for myself/ family members / friends / Associates.
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