Day Trading Calls with Market Review for 31 Mar 2010
Nifty has turned down after taking off the high of 5310 and is now moving in tandem with the indicators. Since four days, the index has been moving higher with a sell in daily KST and a negative divergence on hourly charts, which raised doubts about it moving higher. The breadth and volumes signaled caution—so we were cautiously bullish. Nifty has broken the support of 5286 giving an indication that the rally from 4675 to 5330 is probably over. Nifty has not violated the parallel channel in which it is trading but the early sign is given by the Bollinger bands with the upper Bollinger Band reversing on the downside. So now, the index is likely to test its mean of the bands i.e. 20 daily moving average (DMA), which is the first target in the short term that also coincides with the 23.6% retracement level of the rise from 4675 to 5330. Hence, we change our bias from up to down.
Nifty Closed 5262
Nifty Support 5242/5193/5150
Nifty Resistance 5350/5400/5470
- Sell Reliance 1087-1088 SL 1096 TGT 1076-1070
- Sell TCS @ Opening SL 815 TGT 781
- Sell DLF @ Opening SL 316 TGT 301
- Sell Sail @ Opening SL 248 TGT 238
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With Regards,
Kushagra Mehta
http://www.daytradi
Happy Trading,
United we grow!!!
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