Mid Cap : Is it an early signal for broad bearish trend ?

CNX Mid cap Index is consolidating in 18500-16000 range. Falling trendline should provide resistance at the upper level. H&S pattern is clearly visible on daily and weekly chart which is also supported by death cross (50 DEMA below 200 DEMA). Target of H&S is 13300 but we can see visible support at 13600 (arrow). ADX is showing mixed trend for market as both +DI &-DI are reading at 30-31. Trader should treat this bounce as continuation of sideways to downward trend. Reversal from downward trend will be only on close above 18500.

Any bounce towards 17700-18000 range should be used to create short with stop loss of 18500(daily closing) for target of 13600. Support is at 16200.

Dagangan aktif:

As told, index bounced close to 18000 in yesterday's session and then fell to 17300. Our view to short is still same.