NIFTY / SENSEX targets achieved.

SENSEX : finally SENSEX reached our first target of 17824.

Looking at the  EXTREMELY oversold position of stochastic there can be some bounce back and because of settlement day there will be some volatility but a few days sideways or up move will be short lived and will prove to be corrective only.

It will be far worse case for bulls if SENSEX closes this weak below 17825 or if SENSEX closes this month ATLEAST below 18000.

Our “STOP & REVERSE can now be shifted to 18429 instead of 18725 on weekly closing basis

NIFTY : NIFTY  reached our first important target of 5340  and looking at EXTREME OVERSOLD position of short term momentum indicators there can be some recovery or a few days side ways move.

Looking  at the ADX indicator on weekly charts of both SENSEX and NIFTY which has reached above 25 so the down side momentum gathering pace even on WEEKLY charts.

A weekly close for NIFTY below 5340 or ATLEAST a monthly close for NIFTY around 5400 will have severe negative impact for a few months down the line.

So any corrective rise should remain short lived and we can shift our “STOP & REVERSE” level from 5605 earlier to 5521 on WEEKLY closing basis

As one can see the NIFTY chart INSTEAD of a WEDGE it looks more like a CHANNLED move.