Similarities between “BANK NIFTY” and “NIFTY” (Comparative macro analytical approach in the back drop of time analysis)-
1. Nifty made its last bottom (of 4531) on 23 Dec’ 2011>bank nifty made bottom of (of 7750) on 23dec’ 2012.
2. Nifty made it’s down trend line break out on 27 Jan’ 2012>bank nifty made down trend line break out almost on same time, it was 3rd Feb’ 2012.
3. This time, I mean in this fall or retracement whatever u say, both has again come down till it’s down trend line support and 200WKLY EMA also, almost on same time.
4. Long term chart pattern of both the indices are also same and suggest correlation coefficient between these indices are almost close to 0.9-1.
5. So a general inference can be drawn, both are expected to find their bottom almost on same time around their support level as I mentioned in their respective charts.
