November 1, 2016

Market outlook

Daily charts
- trend is up on daily charts
- today, markets closed flat. AD was negative
- resistance expected at upper trendline of falling channel
- some people are seeing H&S
- break of 8500 can result in correction to 8000-7800
- option writing resistance 9000 support 8500

5 min charts
- trading signals as shown on chart

15 min charts show breakout failure...


  1. Sir.Happy new year to you.
    Regarding H&s pattern,I need you to clear my confusion.Normally I was believing that the the shoulders are nomaly in Inverted V shape.But here it is not so.I mean its series of inverted vvAvv(PL take v as inverted)if we see 8500 as neck line.What is is your opinion about this type of H&S pattern is in line with the H&S concept?

    1. There is this normal H&S which happens at the end of an uptrend. The inverted H&S happens towards the end of a downtrend.


  2. Sir .Thanks.Probably I could not explain you properly.Pl forget about INVERTED.I wanted say that each shoulder will have only one peak .But here there are series of shoulders at both ends.Is that ok for a standard H&S pattern?Hope you understood me what I want to convey.

    1. Not necessary.

      I prefer to go by price action and see what the market is trying to tell.

      We have a support at neckline but the buying which happens fizzles out soon.

    2. Thanks sir.I agree with you.Ultimately what pricing structure wants to tell you is most important.My concept is getting clearer.