Imperfect says ‘I-M-Perfect’ ??

Sometimes patterns wont be perfect but still its says that “I-M-Perfect”. Though today many technical analyst wont notice circled pattern as perfect evening star pattern but i would say that this COULD be imperfect evening star pattern and could give some points reversal if not as much as a perfect pattern would give from such a peak. If we talk about some factors to support this imperfect pattern, 1) Recent Rally: We have almost got 600 points rally from low in prior 12 sessions so now its time for some correction to this Rally. 2). Overbought on daily: Indicators on daily charts are overbought suggesting some sell-off though weekly indicators are yet not signing any sell-off which means that any correction in next few sessions would be a strong opportunity for medium term traders to go long but traders can trade short. 3) Sector weakness: Few front line sectors having weight-age on index are also showing weakness on charts such as Nifty IT and Nifty FMCG. 4) Economy situation: As rajan said in recent policy that we have fear of short term chances of inflation which may have some sentimental sell-off. So to end, we can expect some profit booking for short term trade but overall trend still remains intake. Support on downside: 8081,7935 while resistance on upside 8265 on closing basis.

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