The day was quite choppy one as the prices moved up and down during the mid morning session..When prices moved upwards after reaching 5930 levels ( without going down to 5900 as expected) , it was a feeling of apprehension that shorts not closed earlier at lower levels during the day were still open and whether they would turn out to be losing trade.But holding on to the belief in the system, that till 6025 levels were cleared ,i stayed put....After 2 hrs from 12.30 - 2.30 prices hovered above the pitchfork line and looked like it was going to break out above....
And what a surprise! prices fell thro so fast in the last hour it zoomed thro my target levels...reconfirming my belief in the median line .
Two days of a great trade with 450 points in 4 lots.
60 min chart-19.11.10
15 min chart:The prices stayed below the 50 sma and was a tough resistance.I keep drawing the mini median lines to judge whether they are breaking out.The red pitchfork was drawn to observe the prices moving in the upward direction.But the failure at the lower median line finally gave way to the great fall for today.The levels reached were the two parallel warning lines drawn with the 50 % range of the previous wave of the Pitchfork.Probability is very high that it can reach the 3rd parallel line at 5800 levels which correspond to our targets from the 60 min / daily charts.
Outlook for next week:
Can reach 5800 levels and make a reversal.Will head upwards to 6000 / 6150 levels.The previous wave support and resistance levels will be looked out for entering positions.
Weekly trend is down so it will be sell on rises.So short term long trades after daily chart stoch indicator turns up.
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