REC forms Triple Top in Point and Figure Chart

Rural Electrification Corporation Limited (REC), India's leading public Infrastructure Finance Company in powehttp://www.blogger.com/img/blank.gifr sector has formed Triple Top in the Point and Figure Chart. REC has reached its all time of high of 413.80 on Oct 12, 2010. Right from there the REC has turned negative and traveled towards south. On Feb 23, 2011 REC reached its 52 weeks low of 215.70. During this period stock went down by 200 points which is close to 50%.More...

RSI buy signal in Mhasis Weekly Chart

Mphasis, India's sixth largest IT company has formed RSI buy signal in the weekly chart. In a month Mphasis went down from its 52 weeks high of 711.40 to 52 weeks low of 373.60 which is more than 50%. The stock has side way correction for more than 3 weeks. Mphasis has rallied to 420 from 395 as part of Nifty's last week rally. More..

Axis Bank with Triple Bottom & Head and Shoulder Bottom in daily chart

Axis Bank, one of India's leading private bank has formed many bullish patterns in daily chart. For more than six months Axis Bank was in downtrend and has formed lower highs and lower lows. During this period Axis Bank went down from its All time of high of 1,608.50 to 1,150.00. More..

Tata Steel Forms Inverted Hammer in Candlestick Charts on March 16, 2011

Today Tata Steel Limited has formed Inverted Hammer in Candlestick Charts. Tata Steel has been in a downward journey for quite sometime. The inverted hammer evidence that the downtrend is close to its bottom and the trend may change in the coming days. Today Tata Steel has opened at 585.00 and went up to 607.50 and closed at 593.30.

Inverted Hammer is the sign of reversal in the recent downtrend. There was a balanced between buyers and sellers, even at sometime the buyers are dominating the stock. Eventually the attempt has failed and the stock has closed near the day's open.

Ambuja Cements Forms Bottom Triangle on March 16, 2011

Ambuja Cements Ltd has formed Bottom Triangle in the daily chart. For more than a month Ambuja Cement was trading in range bound between 111.00 in the lower side and 130.00 in the higher side. During this period twice the stock had touched 130.00 level which also forms high end of the Bottom Triangle. Today the stock had very bullish move and closed above 130 mark....

BHEL closes below 200 weekly moving avearge with Bearish Engulfing

The Bharat Heavy Electricals Limited (BHEL) closes below its 200 weekly moving average for the week ends on Feb 25, 2011. It also forms Bearish Engulfing in the weekly Candlestick charts. For more than 2 years the stock was trading in a range bound between 2,000.00 to 2,574.00. For the same period Nifty was trading in the upside trending range bound. On Friday the stock has created its 52 weeks low of 1,961.00.
More...

Infosys Technologies Forms Three Black Crows on Feb 25, 2011

Infosys Technologies Limited has forms Three Black Crows on Feb 25, 2011 in Candlestick Charts. Last week the stock went down 3% or 93.00 points and stocks closed at 3007.30.

Infosys Technologies show more bearish signal in day trading. On Wednesday (Feb 23) the stocks creates gap down opening with reasonable volume. The MACD oscillators are also creates sell signal....

Reliance Industries creates Gap-up with long upper shadow on Feb 22, 2011

Reliance Industries Ltd (RIL) creates Gap-UP opening, because of the over-night news that BP is going to buy 30% stake in it. The stock has closed at 984.85, 28.50 points or 2.98% up. At the one stage the stocks was up by more than 5% and trading around 1110.00 mark. Today's total trading volume of 2023.67 Crs was up-normal compare to its usual volume of around 500 Crs.

Reliance also had up-normal volume in the F&O segment. Future March Series has added 5682750 shares in open interest. In the Option segment, 980 & 1000 strike prices have combined added 26 Lacs shares in open interest in February Series....

S&P CNX Nifty forms Piercing Pattern in the Candlestick Charts on Feb 21, 2011

Today Nifty opened flat after last Friday's Bearish Engulfing. Till two o'clock nifty was forming lower tops and lower lows, which eventually took nifty at day's low of 5,413.10. There was a buying interest in the last two hours of trade in the front line stocks which took market to day's high of 5,526.25. Market has closed at 5,518.60, 59.65 points or 1.09% up. In the other hand sensex made day's low of 18,082.66 and high of 18,457.49. Sensex has closed at 18,438.31 which is 226.79 points or 1.25% up.

There was a very low volume in the cash segment. Both Domestic Institutional Investors and Foreign Institutional Investors were the net sellers in the cash segment. FII has sold of net of -245.42 Crores, DII has sold net value of -27.61. More...

Major Index companies to declare their Q3 results are Maruti, Sun Pharma, NTPC, CIPLA

Major Index companies that will declare their Q3 results include Maruti, Sun Pharma, NTPC, CIPLA among the key global data to watch for is European Monetary Union unemployment rate, European Monetary Union retail sales, US initial jobless claims, US farm and Non farm payrolls and US employment rate.
Nifty witnessed selling pressure post RBI rate hike. Foreign funds have been net sellers on Thursday (1,651 crores) while not much buying came in from DIIs to support the market.
Nifty has closed below 200 days SMA which was placed at 5610 levels suggesting weakness and any bounce may see fresh selling pressure, it has immediate support at 5480 breaching below which it can test 5350 On the higher side, 5630 and 5740 are strong resistance levels for the week ahead...

Indian Stocks - Technical Analysis

The stock or capital stock of a business entity represents the original capital paid into or invested in the business by its founders. It serves as a security for the creditors of a business since it cannot be withdrawn to the detriment of the creditors. Stock is distinct from the property and the assets of a business which may fluctuate in quantity and value......

Basic Candlestick Patterns

Spinning Tops
A black or a white candlestick is formed with a small body. The size of shadows can vary. It is interpreted as a neutral pattern but gains more importance when it is part of other formations.........

Marubozu
A long or a normal candlestick (black or white) is formed with no shadow or tail. The high and the low is consisted of the opening and the closing prices. It is considered as a continuation pattern....

Doji:
It is formed when opening and closing prices are virtually the same. The length of shadows can vary. It is considered that doji candlesticks are usually components of many candlestick pattern.....


Gragon Fly Doji:
It is formed when the opening and the closing prices are at the highest of the day. If it has a longer lower shadow it signals more bullish trend. When it appears at market bottom it is considered as a reversal signal....

Gravestone Doji:
It is formed when the opening and closing prices are at the lowest...
Inverted Black Hammer:
A black body is formed in an upside-down hammer position. It is considered as a bottom reversal signal...

See Also
Indian Stocks - Technical Analysis
Support and Resistance
Trend Lines
Japanese Candlestick

Japanese Candlestick

Candlesticks are usually composed of the body (black or white), and an upper and a lower shadow ,the area between the open and the close is called the real body, price excursions above and below the real body are called shadows. The wick illustrates the highest and lowest traded prices of a security during the time interval represented. The body illustrates the opening and closing trades. If the security closed higher than it opened, the body is white or unfilled, with the opening price at the bottom of the body and the closing price at the top. If the security closed lower than it opened, the body is black, with the opening price at the top and the closing price at the bottom. A candlestick need not have either a body or a wick....

Candlestick charts are a visual aid for decision making in stock, forex, commodity, and options trading. For example, when the bar is white and high relative to other time periods, it means buyers are very bullish. The opposite is true for a black bar.

See Also
Indian Stocks - Technical Analysis
Support and Resistance
Trend Lines

Market will keep a close watch at the RBI Monetary policy meet

Nifty traded in a tight range after witnessing selling pressure for the last two weeks. Foreign funds have been net sellers in 4 out of last 5 trading sessions, while domestic funds have been net buyers....

Support and Resistance

Support and Resistance

Support and resistance represent key junctures where the forces of supply and demand meet. In the financial markets, prices are driven by excessive supply (down) and demand (up). Supply is synonymous with bearish, bears and selling. Demand is synonymous with bullish, bulls and buying. As demand increases, prices advance and as supply increases, prices decline. When supply and demand are equal, prices move sideways as bulls and bears slug it out for control.



Support:
A support level is a price level where the price tends to find support as it is going down. This means the price is more .....


Resistance:
A resistance level is the opposite of a support level. It is where the price tends to find resistance as it is going up. This means....

Trend Lines

Trend Lines:
Technical analysis is built on the assumption that prices trend. Trend Lines are an important tool in technical analysis for both trend identification and confirmation. A trend line is a straight line that connects two or more price points and then extends into the future to act as a line of support or resistance. Many of the principles...

There are three types of trends:

1. Uptrend (higher lows)

2. Downtrend (lower highs)

3. Sideways trends (ranging)

HCL Technology creates All time high with bearish signals

HCL Technologies (NSE:HCLTECH) creates all time high of 517.15 with lot of bearish patterns. Today the stock opens at 503.60 which is 15 points higher than it is previous day close. The stocks trades...

State Bank of India creates Bullish Engulfing Signal in Candlestick Chart - Jan 2011

State Bank of India creates Bullish Engulfing Signal in Candlestick Chart - Jan 2011.

State bank of India creates bullish engulfing signal in
candlestick chart on Jan 201l .......

TCS Creates Bearish signal in Candlestick Chart

In todays (07-Jan-2011) trade TCS has formed bearish signal in both daily & weekly Candlestick charts.

In recent days TCS has lead IT packs rally. There was a gap-up on Oct-22, from their stock has rallied close to 25%. Today It creates bearish engulfing line, followed by two dark cloud cover pattern. The bearish engulfing pattern is formed in weekly chart as well...

Candlestick Hammer

A hammer consists of a very short body with a long fuse. It should have the fuse at least twice the length of the candle body. The color of the body is in this case almost does not matter. (A white body is to be regarded more positively than a black.) He comes at the end of a downtrend before!


More: Candlestick Hammer