Trading with Median lines is a system and a leading indicator suitable for Swing trading.I am following this strategy for Nifty and Bank Nifty with good results.Those interested to trade with Charts and Price action to analyse target price, support and resistance levels will find this strategy very interesting.

Feedback welcome!Happy trading...

Monday, December 6, 2010

Nifty resisted at 6070 levels

Though the mood was positive on the uptrend continuing , the sideway consolidation for 2 days did not result in upward momentum. 6075 levels at the upward green median line noted on thursday's EOD analysis was touched today.Stoch indicator was at oversold levels , so to ascertain probable direction the blue pitch fork was drawn during trading hours in the 15 min chart .The prices slowly moved sidewards and came down towards todays blue median line and crossed it forcefully . The target expected down is at 5947 calculation is 2 ATR of pivots 6025-5964.As the previous wave is a 5 wave structure this can be corrective 3 wave ending at 5890.
More levels are projected in 60 min chart for downside targets.The levels are marked at junctions of median lines with slope lines of probable waves.


Expecting support at 5890 - 5870 levels for next upmove .If prices move below 5850 levels then scenario will become negative .

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