NIFTY have broken below its pattern support of 24480 today so the overall uptrend on daily charts have finally vroken.
One very important point to note here is,
this pattern break has happened just one day before a critical event of budget which is going to be presented tomorrow.
So is there any kind of message which market is trying to convey us?
we should find that out in next 48,hours.
for now its clear that near term long trades are not on offer after todays pattern break.
So from here whether markets enters a consolidation phase or a correction phase that we would have to closely monitor,
As long as 24000 stays intact on spot for now there are chances are that markets would remain in a consolidation phase.
but if something comes out of BUDGET and markets break below 24000 then dynamics would change dramatically.
for Indian markets the risk is also growing from U-S-INDICES because after NASDAQ S&P too has broken below its pattern support which is going to add more pressure in global indices so there is clear overnight risk for NIFTY if S&P registers a sharp INTRADAY decline on any given day.
If you are someone who has been anticipating a deeper correction in NIFTY then thats going to unfold only below 24,000.
because so far its only the daily setup which has damaged.
the weekly setup is still strong and that will take time to turn.
So thats it for now lets see how things goes post BUDGET.
gann,insides 