Sir,
Why Bank Nifty above 50% retrace to 70.7%, why not 61.6%, 78.9% level, any reason?, please explain.
Regard,
Kamal
Mr Kamal
70.7 is one of the important Fibonacci ratios. BNF when it retraces, Gann Angle also resist around 9580. Therefore, there is a high probability of Resistance around that level.
C T R
Dear Sir,
Usual FIB levels considered r 38.2. 50. 61.8.In the present case u have not given imp to these levels for resistance. R V considering Pivots r Fib ,whichever is High/Low.
Pl let us know what r the imp Fib levels other than what is usually followed
And what is the reason u have chosen this chart specifically for action
Mr Rangarajan
Look at weekly chart of Bank Nifty. Week ending 28th May, 2010 was a Hammer pattern with Bearish closing. I waited for its high to be takenout at 9290 to look for high probable trade. It did cross the high on 3rd June,2010. And you will also find BNF taking support at 34 EMA and hit the lower Band of Keltner channel also. Therefore, I assumed BNF has formed temporary bottom and could make reversal.
In daily chart, I wanted to ensure further confirmation from other studies. You will find from RSI chart, it has broken the falling trendline and MACD was almost on the verge of giving buying signal.
Your question for important fibonacci levels, please download fibonacci calculator from http://www.tradersoftware.biz. This RTN value of 70.7% coincides with GANN Angle which also resist around 9580.
Sir,
Why Bank Nifty above 50% retrace to 70.7%, why not 61.6%, 78.9% level, any reason?, please explain.
Regard,
Kamal
Mr Kamal
70.7 is one of the important Fibonacci ratios. BNF when it retraces, Gann Angle also resist around 9580. Therefore, there is a high probability of Resistance around that level.
C T R
Dear Sir,
Usual FIB levels considered r 38.2. 50. 61.8.In the present case u have not given imp to these levels for resistance. R V considering Pivots r Fib ,whichever is High/Low.
Pl let us know what r the imp Fib levels other than what is usually followed
And what is the reason u have chosen this chart specifically for action
Mr Rangarajan
Look at weekly chart of Bank Nifty. Week ending 28th May, 2010 was a Hammer pattern with Bearish closing. I waited for its high to be takenout at 9290 to look for high probable trade. It did cross the high on 3rd June,2010. And you will also find BNF taking support at 34 EMA and hit the lower Band of Keltner channel also. Therefore, I assumed BNF has formed temporary bottom and could make reversal.
In daily chart, I wanted to ensure further confirmation from other studies. You will find from RSI chart, it has broken the falling trendline and MACD was almost on the verge of giving buying signal.
Your question for important fibonacci levels, please download fibonacci calculator from http://www.tradersoftware.biz. This RTN value of 70.7% coincides with GANN Angle which also resist around 9580.
C T R
Than you sir