Nifty is now at a 14 month high and new highs are expected. Time to be bullish.
Since 14th Sept 2012, we have been suggesting that new highs are expected, and the Nifty has obliged by regaining its 14 month high, and the bullish up move still seems to have more steam left in it as yet. On Friday, at the opening bell, the Nifty was in equilibrium, and the Bears had an outside chance of regaining their stature. However, the Bulls came into action right from the word go, and took the Nifty past 5600 and then past 5700 before closing at 5691 with a whopping gain of 137 points. Our trading plan (a) part (b) got triggered immediately and we were happy to book a profit of more than 85 points by the end of the day.
1) The Elder Ray readings : Bull Power rises from +122 to +227 Bear Power reduces from +75 to +83, indicating that the Bulls have made the task very difficult for the Bears now. For today, the Bulls need to overcome the levels of 5750 to maintain their upwards momentum, whereas the Bears need to breach the levels of 5520 to regain their lost grounds.
2) The Nifty has once again closed above all its key EMAs and also above all its key DMAs.
3) The stochastics are yet again in the overbought zone and are still pointing upwards.
4) In the above chart, the volumes have increased with the whopping rise in the Nifty, indicating that the up move may still go on. The MACD is also pretty bullish along with a rising histogram. The ADX is also confirming a rise in momentum for the Bulls. The Parabolic SAR continues to give out its buy signal with a SL now pegged at 5488.
5) Considering the above, our trading plan for the day is as under.
a) Above 5665, we will open fresh long positions with a SL of 5645 and a target of 5745. We will add to these long positions only above 5770.
b) Around 5760, we will open fresh short positions with a SL of 5770 and a target of 5680. We will add to these short positions only below 5645.
Happy Trading !!!
Also check out Just Nifty and The Nifty Range blogs.
For cash market recommendations see our Daily Pre Market calls on NSE
Since 14th Sept 2012, we have been suggesting that new highs are expected, and the Nifty has obliged by regaining its 14 month high, and the bullish up move still seems to have more steam left in it as yet. On Friday, at the opening bell, the Nifty was in equilibrium, and the Bears had an outside chance of regaining their stature. However, the Bulls came into action right from the word go, and took the Nifty past 5600 and then past 5700 before closing at 5691 with a whopping gain of 137 points. Our trading plan (a) part (b) got triggered immediately and we were happy to book a profit of more than 85 points by the end of the day.
1) The Elder Ray readings : Bull Power rises from +122 to +227 Bear Power reduces from +75 to +83, indicating that the Bulls have made the task very difficult for the Bears now. For today, the Bulls need to overcome the levels of 5750 to maintain their upwards momentum, whereas the Bears need to breach the levels of 5520 to regain their lost grounds.
2) The Nifty has once again closed above all its key EMAs and also above all its key DMAs.
3) The stochastics are yet again in the overbought zone and are still pointing upwards.
4) In the above chart, the volumes have increased with the whopping rise in the Nifty, indicating that the up move may still go on. The MACD is also pretty bullish along with a rising histogram. The ADX is also confirming a rise in momentum for the Bulls. The Parabolic SAR continues to give out its buy signal with a SL now pegged at 5488.
5) Considering the above, our trading plan for the day is as under.
a) Above 5665, we will open fresh long positions with a SL of 5645 and a target of 5745. We will add to these long positions only above 5770.
b) Around 5760, we will open fresh short positions with a SL of 5770 and a target of 5680. We will add to these short positions only below 5645.
Happy Trading !!!
Also check out Just Nifty and The Nifty Range blogs.
For cash market recommendations see our Daily Pre Market calls on NSE
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