Nifty next week prediction

NIfty closes to over 3 months high at 7850.45. some fundamental postive news helps nifty to closed 481 points positive ,like Monsoon will be above normal,inflation falling below 5 percent ,auto and banking sector expecting more rate cut as RBI governor said that if all good then we can see more rate cut. And the most important thing IMF retained 7.5 percent expansion forecast for 2016 and 2017.

Now we will try to understand Nifty technical analysis on that basis of technical aspects .

Nifty is making Three white soldiers patterns on Daily chart which shows the strenghts of of the advancing market .it means end of the bear market and the beginning of bull phase but thare are some big resistence for Nifty on daily chart Like Nifty never crossed 200 SMA after dated 20.08.2015 and this weekened also it closes below 200 SMA that is 7872. so we can assume that if Nifty closes above 7872 then Next target will be 7972 and 8243.

But if we draw a trendline from dated 04-03-2015(High) to 23-07-2015(High) then also we can find that Nifty does not closes above this trendline which is a negative sign for us from there we can see a huge fall as that lower top lower bottom trend will continue so that support can be for Nifty will be 7623 and then 7396.

so we can safely conclude that Do not go for Fresh short as well as Fresh buying , before that pls identify the short term trend and then make positions.

If Above 7744 then 7971 and then 8091

If Below 7744 then 7623 and then 7396