History Always Repeats

If History Repeats itself then why we have to learn it.

Last week I mentioned about bolinger bands and the possibility of touching the lower band and it happened too . Refer the link

Look at the weekly charts (courtesy icharts.in).The trend line from Sep Low has been violated accompanied by beautiful negative divergence. Though volume was not much in the fall compared to the volumes that happened  till Diwali Up Move.

If we go only by the prize-volume behavior then this is just a technical correction which may end at 6040 or 5935 Max  from where we started and move higher & If we go by the negative divergence then a straight correction to 5400.

I expect a very good bounce from 6040 or 5935 till 6225 in a very short time.

Courtsey  www.icharts.in

Note : Owing to the dynamic nature of  market the indicators taken for the purpose of  study too vary.The idea here is to take that indicator that can give the best probable direction of the market.But in every time frame prize-volume behavior will always have supremacy over the other we just need that eyes to identify it.