It has been a choppy , low range , low volatility Market since the start of July series. The Monthly range so far has been a poor 180 points apprx. Since last few months ,after making a top at 5630, we are seeing the trading with no followups of any breakouts on either side , important levels and averages being whipsawed , range bound short term trading and now small daily ranges and low volatility. It has been a boring market to trade lately .
The Daily Chart seems to be forming a Triangle Pattern in which there are lots of whipsaws , three wave moves and low volumes .
Since the recent low of 4770 , we seem to have done a three wave up move till 5348 .
Now from the top of 5348 we may be doing a three wave move down to either retrace the last up move as in chart below or a larger move down towards the lower trendline of the Triangle as in daily chart.
For short term trading , this may be a probability :
The 5 min chart points to weakness in initial sessions of the next week .
The Short term bias is down . The initial Support may come at 5130-60 and Resistance near 5260-5300 for the next week . The series may expire within this range also .
A direction for a larger move in short term may come in first week of next series , which may be down , if 5300 is not crossed on closing basis, targeting near 5000 levels .