Bulls maintain their grip on the Nifty as markets consolidate without giving up much.
As discussed yesterday, the Nifty looked Bullish above 5320, as that level was always defended well throughout the trading session. The Nifty closed with a nominal gain of 1 point highlighting the consolidation mode that it has entered a couple of days ago. Our trading plan (b) got triggered and we were happy to book a 40 point profit by the end of day yesterday.
1) The Elder Ray readings: Bull Power rises from +126 to +137 Bear Power reduces from +57 to +90 indicating that the Bears are now really gasping for breath as the Bulls continue to hold their grip on the Nifty. For today, the Bulls need to take the Nifty over 5400 to maintain their upwards momentum, whereas the Bears need to take the Nifty below 5255 to regain their lost grounds.
2) The Nifty is trading well above all its key EMAs and also all its key DMAs.
3) The stochastics are well and deeply in the overbought zone.
4) In the above chart, the volumes have increased with the Nifty consolidating, indicating that a major move is just round the corner. The MACD is rising, emphasizing the bullish stranglehold. The ADX is also suggesting a rising momentum for the Bulls. The Parabolic SAR continues with its buy signal with a SL of 5131.
5) Considering the above, our trading plan for the day is as under.
a) Around 5305, we will open fresh long positions with a SL of 5285 and a target of 5365. We will add to these long positions only above 5395.
b) Around 5380, we will open fresh short positions with a SL of 5395 and a target of 5335. We will add to these short positions only below 5285.
Happy Trading !!!
For cash market recommendations see our Daily Pre Market calls on NSE
As discussed yesterday, the Nifty looked Bullish above 5320, as that level was always defended well throughout the trading session. The Nifty closed with a nominal gain of 1 point highlighting the consolidation mode that it has entered a couple of days ago. Our trading plan (b) got triggered and we were happy to book a 40 point profit by the end of day yesterday.
1) The Elder Ray readings: Bull Power rises from +126 to +137 Bear Power reduces from +57 to +90 indicating that the Bears are now really gasping for breath as the Bulls continue to hold their grip on the Nifty. For today, the Bulls need to take the Nifty over 5400 to maintain their upwards momentum, whereas the Bears need to take the Nifty below 5255 to regain their lost grounds.
2) The Nifty is trading well above all its key EMAs and also all its key DMAs.
3) The stochastics are well and deeply in the overbought zone.
4) In the above chart, the volumes have increased with the Nifty consolidating, indicating that a major move is just round the corner. The MACD is rising, emphasizing the bullish stranglehold. The ADX is also suggesting a rising momentum for the Bulls. The Parabolic SAR continues with its buy signal with a SL of 5131.
5) Considering the above, our trading plan for the day is as under.
a) Around 5305, we will open fresh long positions with a SL of 5285 and a target of 5365. We will add to these long positions only above 5395.
b) Around 5380, we will open fresh short positions with a SL of 5395 and a target of 5335. We will add to these short positions only below 5285.
Happy Trading !!!
For cash market recommendations see our Daily Pre Market calls on NSE
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