Date:19th September 2011
INVERTED HEAD & SHOULDERS
Inverted Head&Shoulders is a Bullish pattern and the Price can give a major upward Breakout if it crosses the Neckline.The Breakout would be much better if it's with huge volumes.
In a Downfall,the Index tries to bounce back but rises up to a certain level with lesser volumes and comes down to make a lower bottom than the previous one.
Now after making this new bottom the Index again rises with huge volumes indicating buying presure.It reaches upto a Certain level and again starts falling down but this time with less volumes indicating selling pressure drying up.This down fall make a new bottom but but higher than the earlier bottom.
Now if the Index rises again from the higher bottom and crosses the neckline drawn joining the 1st leg of the head and the 2nd leg of the head it will definitely go for an upward breakout.
A Breakout above 5150 in the current scenario can push the Nifty to achive a target of 5650 in the near future.The level of 5329 can play a big hurdle in achiving the upper traget of 5650.
As of now The Nifty is down as I had predicted earlier.
The Invereted Head & Shoulders can be seen from the above figure.
For Detailed Description on Inverted Head & Shouldrs mail on kd_analyst@rediffmail.com
INVERTED HEAD & SHOULDERS
Inverted Head&Shoulders is a Bullish pattern and the Price can give a major upward Breakout if it crosses the Neckline.The Breakout would be much better if it's with huge volumes.
In a Downfall,the Index tries to bounce back but rises up to a certain level with lesser volumes and comes down to make a lower bottom than the previous one.
Now after making this new bottom the Index again rises with huge volumes indicating buying presure.It reaches upto a Certain level and again starts falling down but this time with less volumes indicating selling pressure drying up.This down fall make a new bottom but but higher than the earlier bottom.
Now if the Index rises again from the higher bottom and crosses the neckline drawn joining the 1st leg of the head and the 2nd leg of the head it will definitely go for an upward breakout.
A Breakout above 5150 in the current scenario can push the Nifty to achive a target of 5650 in the near future.The level of 5329 can play a big hurdle in achiving the upper traget of 5650.
As of now The Nifty is down as I had predicted earlier.
For Detailed Description on Inverted Head & Shouldrs mail on kd_analyst@rediffmail.com
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