Market Analysis With Megh Mody

We have been accurate in capturing the move of Nifty when it whipsawed from the 5600 and later opened with a gap up which was unfilled. We captured the trend only with the help of advance technicals such as Gann analysis and its master calculator Square of 9; again we used simple technicals such as channels, retracement to predict the support and resistance for this index. Other oscillators such as Daryl Guppy has given a buy signal along with moving average of 20 EMA and 50 SMA has given a bullish crossover which opens positive possibilities for this index. As far as 5905 is protected on downside our bias continues to be positive for Nifty. Using square of 9 technique we found the date where the trend of Nifty changed which we have explained below. The below chart explains the use of square of 9. Nifty Daily Chart Analysis Nifty made a low on 10 th of April 2013 at 5477 and then it moved higher and made a high of 6229 on 20 th May 2013. To predict the fut...

Nifty has completed first section and is now heading towards its second. It is always easy to remember like this to avoid confusion. As we are aware that there are only 3 section, a possibility of 4 th will either make a double top or any other formation which will help us to initiate fresh position. We have used Square of 9 technique which is a master calculator in identifying the change in trend, its swing and change of date. We have shown this in the chart where we have come to the conclusion that Nifty can rally further till 1 st Of August 2013. Also we have used speed angles to justify our self that how much price can move higher with the help of this angle. Analysis: As mentioned above after completing section 1, the index is moving in section 2 which proves that it has ample of space to rally further. Second most important thing is we have calculated Price with time again a very important indicator to foresee the change in trend. This was only possible with ...

Many traders and analysts are not clear for the trend in Gold, but looking at the current chart of Gold prices will now move in a positive direction over short term. We have been continuously watching this precious metal and came to the conclusion that prices will start its up move. This was only possible with the combination of simple technical analysis and advance analysis. The following excerpt is been picked from our daily publication “Commodity Gannalyst” where we had mentioned its crucial support and resistance levels. Gold 1 st Month Contract Analysis From the above chart we can observe that after a sharp fall from 32500 prices came down steeply and found support near 25000. Prices managed to protect its low of 25000 and bounced thus giving and double bottom break out. After the break out prices managed to stay above it which opens positive possibilities and started consolidating by movi...

IDFC was one of the worst performer stock but what was the signal that forced the stock to change the trend? The answer to the above question was only possible with help of advance technicals like Gann Analysis and simple technical analysis such as channels, Fibonacci retracements etc.  IDFC Daily Chart   Analysis:                             From the above daily chart we can observe that prices are moving in a down trend but in the 1 st week of June prices showed a reversal pattern. We have also used price and time grid to find out the change in trend. Price and time grid is very important not only to find out change in trend but also helps us to determine important support and resistance levels.

Hindalco:  Catching top Using Price and Time While many traders were bullish in this metal stock as it was one of the out performer, but using Gann analysis and simple technical analysis such as channels, Fibonnaci retracement etc, it was easy for us to catch the important top in this metal stock. The below excerpt is been picked from our daily publication, “The Equity Gannalyst” where we have used price and time grid to identify the top. Hindalco Daily Chart: Analysis: From the above daily chart of Hindalco, we can observe that prices after making a low 87 moved higher and in a channelized formation and moved till 50% retracement of the previous down move (135-87). 50% is one of the important retracement level as it has the tendency to reverse once from that level. Prices made a high at 112.55 and reversed which was 50% retracement and also one of the vibratory numbers placed at this level from where prices reversed and moved lower and even breach...

Infosys : Predicting through Gann Analysis Infosys fourth quarter net profit rose slightly higher-than-expected 3 percent year-on-year (1 percent quarter-on-quarter) to Rs 2,394 crore, helped by higher other income and lower income tax expenses . The above result was declared on 12th of April and as a result we saw the 20% fall on single day in this stock though the results were positive. Is this fall predictable? Using Technical analysis and Advance technical concepts such as Gann Analysis it was easy for us to predict the fall and to predict future movements of this stock. Infosys Daily Chart Analysis: As seen in the above daily chart of Infosys, we can observe that prices have made a double top formation and gave bearish break out which dragged the prices lower soon after results were declared and the stock tanked 20% on that day. The stock price further moved lower and made a low of 2186 in late April 2013. In the month of M...

Hindalco is one of the outperformer stock as compared to other metal stocks such as Jindal Steel, Tata Steel, Hind- Zinc etc. The reason for such outperformance is, it made an accumulation pattern at the level from 86-94 and gave a bullish break which took prices till 113 levels made on 16 th May 2013. The level of 113 is a very crucial  where its previous pivot is placed along with 50% retracement of the previous down move (137-86) and also 200 (SMA) is placed at this level. Now for prices to move in a positive direction it need to take out 113 decisively. With the help of Price and Time grid, we can observe that prices are currently quoting near the intersection of the grid which is suppose to be a crucial resistance. Please understand the grid helps us to identify the important pivots which can be under formation or its in place. The overall view for Hindalco is positive as the stock can move till 120-121 levels over short term. A dip in prices can be utilised a...