A small positive candle was formed on the daily chart with upper and long lower shadow. Technically, this pattern indicates a formation of high wave type candle pattern. Normally, such high wave formation after a reasonable decline or upside calls for impending trend reversal. Having declined recently, the chances of upside bounce are likely in the coming sessions.
“Nifty restricted its move to 230 odd points in the eventful week, showcasing timidity among the counterparties. Technically speaking, amidst the ongoing consolidation in the market, the chart structure construes a time-wise correction, which is to be taken as a healthy sign in a bullish market scenario,” Osho Krishan, Angel One, said