Nifty Future Analysis Based on Hourly Chart

Nifty Future (NSE Nifty India) show weakness after yesterday's up move on global cues. Last time I told my readers that those who have long positions should sell near 3250 rather than to buy fresh as I found a big resistance area around that level.

Looking at the Hourly Chart of Nifty Future, the graph looks like coastline of Indian peninsula, on which India, Bangladesh have formed and Myanmar is in progress (Fun intended). Can you imagine if it goes on to complete the map with southeast Asia and then Australia and even New Zealand?

Well, leaving the fun part alone, let me concentrate on what I observe on the Hourly Chart:

1. The up move of yesterday was although fierce, it failed to even test the high of Nov 4 (There is a Shooting Star on Nov 4).
2. The EMA sequence on Hourly Chart had turned partially positive but still it is not very reliable considering today's down move has taken the Fibonacci 61.8% retracement of yesterday's up move.
3. It appears like a Double Top is forming which can breakout downwards if 2850 is breached, then the target comes to near 2450 - 2500.

I would better wait for either the breakout downwards or any other clue rather than preempting. So far it looks like smart money is selling on rallies.