Indian share markets have corrected over 3% from their recent high, in sync with the US markets.
This comes on the back of mounting fears of recession post the release of economic data last week. The fear resulted in profit booking at higher levels.
An outperformance of Indian share markets may prolong over the US market.
On the hourly chart of Nifty Futures (Continuous Contract), the Bullish Gartley Harmonic pattern is visible at today's day low of 18,308.
The harmonic is a reversal pattern and is calculated using multiple Fibonacci retracements.
On Nifty Futures, the reversal is confirmed with the bullish bar and positive divergence on the RSI.
Traders can look to buy the dip. The pattern will be negated on a break below 18,289.
As I write this, the Nifty is trading at around 18,340, up by 72 points. Bharti Airtel and Power Grid are the top gainers today. BPCL and ONGC are the laggards.
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To know more about how the Nifty and Bank Nifty index are performing, please see the NSE Nifty Live Chart and NSE Bank Nifty long term chart.
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Brijesh Bhatia Research Analyst and expert chartist, is the editor of Alpha Wave Profits. Fully committed to his craft, Brijesh has mastered the art of making money by trading using technical analysis. Brijesh has an MBA from ICFAI and 16 years of experience in India's financial markets. He began his career on Dalal Street as commodities dealer and it wasn't long before he developed his own unique trading system. Brijesh worked on his trading system until it could be expected to deliver 5 units of return for every unit of risk.
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