The relative chart of BSE 500 Index and Nifty was flagging warning signals from late 2010. Any bullish rally should be reflected in broader market for it to continue.
Here is the chart of BSE 500 Index relative to Nifty which has been making lower tops in late 2010 with early Jan 2011 bottom break a perfect warning signal. This combined with lower tops was a perfect sign.
The ratio is now at critical support levels.
Here is the chart of BSE 500 Index relative to Nifty which has been making lower tops in late 2010 with early Jan 2011 bottom break a perfect warning signal. This combined with lower tops was a perfect sign.
The ratio is now at critical support levels.
How strong are the support levels ? This is good to know that finally the supports has arrived. Looking forward to any bounce or upmove from here.
ReplyDeleteWell the support being on point & figure chart and is kind of double bottom looks to be good levels to hold.
ReplyDeleteThough being on relative chart it means less as the selloff intensity can still hold the levels while being in -ive.
The support should follow up with Nifty and BSE 500 also holding support.