View 02 August

Took a look at NEPSE chart after some time today.

Drew Fib Levels from 1670 to 1150. Recently, level of 78.6 % @ 1559 seems to have been tested and denied on 20 July. For now, the level of 1410 @ 50 % retracement seems to be providing support. Ranging in between 50 % and 61.8 % for now, level 1410 and 1472 respectively.

Now, according to the rule book, if 1472 is breached and held, a probable test of 1559 can be seen but alternatively, if 1410 gives up, a test of 1349 can be seen.

This is NEPSE''s chart view. Now, this view should be incorporated to the chart of equity you like to analyze. Watch if the price is near or at any support or resistance levels and how those levels are played along with the NEPSE's levels. Create a strategy for entering into a new position, holding a position, or getting out a position.

Always remember, Technical Analysis is just a point of view to look at historical prices, try to find a pattern, and to see if in future that pattern is going to repeat itself. This view can absolutely be different from person to person and may or may not mean anything. The most important component here is price action and mass psychology. Always put that in focus, and use Technical Analysis to get a sense of how mass psychology is reacting with the price. If one understands this then s/he will never get mad at any Technical Analyst ever (for the market not doing what was being assumed it would do) and more importantly may become successful in trading.