Unit of Technical Analysis

A very specific pattern followed by nifty, where we can measure the pullbacks and upsides too

Dow Jones, had a 1. Gap down opening made low of last days low & closed at last days closing level Nifty also made a Gap down opening, tried to recover but again started moving down, it completed a 1.272 retracement and then started moving up and again closed at Yesterday's closing level.

same pattern adopted by Nifty too

should we expect a gap down tomorrow, if yes, wait for 1st 10-15 minutes before we take a trade

Dow jones today

Nifty also moved down and closed in positive today

Dow Jones opened and moved down and then closed 40 points+ Hopefully same expected for Indian markets too

Nifty have moved above the 0.786 level (17338) giving us a 50% retracement during the day time. Next is level 1 (17489.8 level) above these level important resistance will be 17613 (level 1 of dontrend fibonacci) and above that will be 17693. T1: 17682.2 T2: 17926.95

Nifty has again taken support around 0.236 level. 17136 is 0.5 level which will act as support for today and tomorrow while 17338 will be 0.786 level once we complete the 2-5-8 formation, we can see good uptrend. Dow Jones has also opened 1.5% up, so likely Indian market will also move up in tandom with international markets.

Signal: day range is formed and 17042 is 0.236 level for reversal for downtrend. hope we get a confirmation too

Yesterday's trade

6/12/21 i.e. Yesterday's market

Chapter 1: Bull & Bear Cycles The most important question in front of every Investor/ Trader is 1. When is the "RIGHT TIME" to Buy and Sell? 2. What is the "BEST PRICE/LEVEL" to Buy and Sell? The Market has its own story to tell and we just need to listens to what exactly the market is trying to say!! We have considered last 4 BULL & BEAR CYCLE and we try to interpret how market exactly behaves. Tools used: Fibonacci ("Fibo" here onwards) retracement Method: Swing Low as "0" of previous Bear Market & Swing High of Bull Market as "1", we will try to focus on the Fibo levels rather than the actual price. Cycles within the Cycles: A. 2004-2008 Cycle: We start with 2004 low of 1282. as "0" and Market High of 2008 i.e. 6373.6 as "1" B. 2008-2012 Cycle: We start with 2008 low of 2284.9 as "0" and Market High of 2010 i.e. 6338.5 as "1" C. 2012-2016 Cycle: We start with 2012 low of 4531.15 as "0" and Market High of 2015 i.e. 9138.15 as "1" D. 2016-2020 Cycle: We start with 2016 low of 6973.45 as "0" and Market High of 2020 i.e. 12430.5 as "1" As updated, we have just considered the swing low & swing high of Bull & Bear Cycle and try to find out what exactly is happening. Observations 1: In 2004-2008 & 2016-2020 Cycle, the Market Retracement (or Pullback) level is 0.236, in July'2008, It tried to take a support around 0.5 level i.e. 3827 but couldn't sustain and ultimately it dropped down to 0.236 levels 2: In 2008-2012 & 2012-2016 Cycle, the Market Retracement (or Pullback) level is 0.5 (in 2016, it was exactly till 0.5 level i.e. 6834 while in Dec''2011, it was 4531 while 0.5 level was 4311.69) still such closer to the actual levels Conclusion: 1. Always allow the Market to form its 1st leg i.e. 0-1 level, while we wait for retracement level before we take any trades 2. The best probability of trading is either at 0.5 level or 0.236 level of the retracement. 3. Targets can be 1.272 & 1.618 levels or Higher (at these levels we tend to find out similar Price action of Fibo on Daily or Intraday levels with High as 0 & Low as 1, to identify reversal patterns) Notes: These are long monthly candles, it should be preceded by Daily candles, along with other Tools like Moving Average, RSI & MACD. Same can be also applied for intraday trading on Positional trades. Telegram Channel: Unit_of_Technical_Analysis

reversal @ 1.272 level and the reversla has been also very systematic, please check the 1st and 2nd Fibo

oue 2-5-8 pattern is completed successfully now we go for T1-17470 and T2- 17656 before we see a reversal.

yesterday's low in 2nd half was 17064 while 50% is 17054 which wll act like a confirmation, hope today it will start moving above 17208 i.e. 0.786 level to complete the pattern

we are yet to get above 0.786 level which will give a confirmation for upward movement

@50% of day range now