iCharts Discussions

apka · Black Belt Joined: 13 Dec 2011 Posts: 6137

Need all chart readers view.

I don't trade regularly in INFY, so I could be wrong in understanding it's movement. I feel downside is coming.

Neutral:
1. FNO analysis of INFY not possible from my side, there is huge build up of calls from 2800ce to 3300ce and puts from 2800pe to 2400pe. And the premiums are insanely high Both sides are equal.

2. CNX IT's chart has made 85% cup on weekly chart. On that part big gap up would complete it's cup. I don't know if INFY is ready can go for a new high after that just based on 2 quarter results? Otherwise CNX IT cannot continue up making the handle. So I have doubt it will go up in that sense.

Positive:
1. INFY and CNX IT's weekly momentum indicators are positive.

Negative:
1. INFY and CNX IT's weekly RSI is highly overbought.

2. INFY's and CNX IT's daily charts momentum indicators are in negative and RSI is showing signs of weakness.

3. At the stage of last result, INFY had been around those levels for more than few weeks and just before result, couple of weeks it went up little everyday and its MACD and RSI started curving up suggesting accumulation. This time since 2 weeks its been going down and momemtum has become negative and its below 50ema. Suggesting distribution.

4. INFY's last week candle was an inverted hanging man candle (when it retested it's recent high 3000 levels, immediately retreated back)

5. CNX IT march monthly candle closed outside it's bollinger band and when a bigger timeframe candle closes out of bollinger band and then goes back in again and below (april month has not closed yet) then there is more chances of reversal. And March IT candle was an inverted hanging man.