Bears just got a look in yesterday. Bulls need to close the week above 5800.As discussed yesterday, we had said that the Bulls were weak, and that is what it turned out to be. The Nifty after opening with a positive gap of 12 points, made a intra-day high initially and then sold off to breach previous day's low and close at 5852 with a loss of 37 points. In this process, the Bears have recovered all their lost grounds. However, the weekly trend is still up and Bulls need to show some mettle to close the week still in their favor.1) The Elder Ray readings : Bull Power reduces from +82 to +64 Bear Power rises from +32 to -3 indicating that the Bears are now in their own territory and need some more work to retain that status. For today, the Bulls need to overcome the levels of 5910 to retain their upwards momentum whereas the Bears need to breach the levels of 5835 to retain their downwards momentum.2) The Nifty has now closed below its 8EMA (5872) but above its 13EMA and its 21EMA. The Nifty has also closed above all its key DMAs.3) The stochastics are now just out of the overbought zone and are pointing downwards. 4) In the above chart the volumes have not risen with the fall in the Nifty indicating that a temporary bottom may be nearby now. The MACD is declining but has not triggered a downtrend yet. The MACD histogram is reducing but still is in the positive. The ADX is showing a decline for the Bulls, but is still favoring them. The Parabolic SAR continues with its buy signal with a SL at 5841.5) Considering the above, our trading plan for the day is as under.a) Around 5885 we will open fresh short positions with a SL of 5905 and a target of 5815. We will add to these short positions only below 5800.b) Around 5820 we will open fresh long positions with a SL of 5800 and a target of 5865. We will add to these long positions only above 5905.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Bears just got a look in yesterday. Bulls need to close the week above 5800.
As discussed yesterday, we had said that the Bulls were weak, and that is what it turned out to be. The Nifty after opening with a positive gap of 12 points, made a intra-day high initially and then sold off to breach previous day's low and close at 5852 with a loss of 37 points. In this process, the Bears have recovered all their lost grounds. However, the weekly trend is still up and Bulls need to show some mettle to close the week still in their favor.
1) The Elder Ray readings : Bull Power reduces from +82 to +64 Bear Power rises from +32 to -3 indicating that the Bears are now in their own territory and need some more work to retain that status. For today, the Bulls need to overcome the levels of 5910 to retain their upwards momentum whereas the Bears need to breach the levels of 5835 to retain their downwards momentum.
2) The Nifty has now closed below its 8EMA (5872) but above its 13EMA and its 21EMA. The Nifty has also closed above all its key DMAs.
3) The stochastics are now just out of the overbought zone and are pointing downwards.
Nifty seems to be getting in hands of weak Bulls. Bears not strong either.As discussed yesterday, it turned out to be a critical trading session, during which we were expecting to find further direction to the trend. However, what we got was an inside day, where in the Nifty, in spite of getting a positive up gap of 20 points, was not able to make further gains on that, and sold off from there. However, the Bears too were not able to breach previous day's lows and the Nifty clawed back from 5875 to close at 5888 with a loss of 10 points.1) The Elder Ray readings : Bull Power reduces from +130 to +82 Bear Power also reduces from +30 to +32 indicating that the market is losing momentum as yet. For today, the Bulls need to overcome the levels of 5935 to maintain their upwards momentum, whereas the Bears need to breach the levels of 5850 to regain their lost grounds.2) The Nifty continues to trade above all its key EMAs and also above all its key DMAs.3) The stochastics are in the overbought zone and are threatening to fall away. 4) In the above chart, the volumes have increased with the fall in the Nifty, indicating that the down move may continue. The MACD continues to give a negative divergence, with the histogram reducing. The ADX is also suggesting a weakening of the Bulls. The Parabolic SAR continues with its buy signal with a SL of 5835.5) Considering the above, our trading plan for the day is as under.a) Around 5920 we will open fresh short positions with a SL of 5935 and a target of 5875. We will add to these short positions only below 5840.b) Around 5860 we will open fresh long positions with a SL of 5840 and a target of 5900. We will add to these long positions only above 5935.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Nifty seems to be getting in hands of weak Bulls. Bears not strong either.
As discussed yesterday, it turned out to be a critical trading session, during which we were expecting to find further direction to the trend. However, what we got was an inside day, where in the Nifty, in spite of getting a positive up gap of 20 points, was not able to make further gains on that, and sold off from there. However, the Bears too were not able to breach previous day's lows and the Nifty clawed back from 5875 to close at 5888 with a loss of 10 points.
1) The Elder Ray readings : Bull Power reduces from +130 to +82 Bear Power also reduces from +30 to +32 indicating that the market is losing momentum as yet. For today, the Bulls need to overcome the levels of 5935 to maintain their upwards momentum, whereas the Bears need to breach the levels of 5850 to regain their lost grounds.
2) The Nifty continues to trade above all its key EMAs and also above all its key DMAs.
3) The stochastics are in the overbought zone and are threatening to fall away.
Bulls make a new high, Bears break previous day's low. Critical days ahead.As discussed yesterday, our opinion was that the Bulls were loosening their grip on the Nifty a bit. The Nifty opened with a 15 point up gap, made a new high and then immediately got sold off to break the previous day's low and close with a loss of 10 points. Our trading plan (a) got triggered twice. Once it met with the SL and we lost 20 points. Second time, it met the target and we booked a profit of 45 points. Then our plan (b) got triggered and that too made us a good 25 points profit by EOD.1) The Elder Ray readings : Bull Power rises from +95 to +130 Bear Power also rises from +64 to +30 indicating that both the Bulls and the Bears have increased their momentum now and it will be interesting as to who takes the upper hand now onwards. For today, the Bulls need to overcome the levels of 5975 to maintain their upwards momentum, whereas the Bears need to breach the levels of 5845 to regain their lost grounds.2) The Nifty continues to close well above its key EMAs and also its key DMAs.3) The stochastics continue to remain in the overbought zone. 4) In the above chart, the volumes have increased with the fall in the Nifty indicating volatile times ahead. The MACD continues to flatten out whereas the histogram too continues to fall. The ADX is suggesting a mild rise in the Bullish momentum. The Parabolic SAR continues with its buy call with a SL at 5802 now.5) Considering the above, our trading plan for the day is as under.a) Around 5940 we will open fresh short positions with a SL of 5955 and a target of 5880. We will add to these short positions only below 5850.b) Around 5865 we will open fresh long positions with a SL of 5850 and a target of 5905. We will add to these long positions only above 5955.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Bulls make a new high, Bears break previous day's low. Critical days ahead.
As discussed yesterday, our opinion was that the Bulls were loosening their grip on the Nifty a bit. The Nifty opened with a 15 point up gap, made a new high and then immediately got sold off to break the previous day's low and close with a loss of 10 points. Our trading plan (a) got triggered twice. Once it met with the SL and we lost 20 points. Second time, it met the target and we booked a profit of 45 points. Then our plan (b) got triggered and that too made us a good 25 points profit by EOD.
1) The Elder Ray readings : Bull Power rises from +95 to +130 Bear Power also rises from +64 to +30 indicating that both the Bulls and the Bears have increased their momentum now and it will be interesting as to who takes the upper hand now onwards. For today, the Bulls need to overcome the levels of 5975 to maintain their upwards momentum, whereas the Bears need to breach the levels of 5845 to regain their lost grounds.
2) The Nifty continues to close well above its key EMAs and also its key DMAs.
3) The stochastics continue to remain in the overbought zone.
Bull need to close above 5920 today to negate the rounding top being formed.As discussed yesterday, it was time for caution on the Nifty, as the Nifty moved in a very tight range of just 30 points and that too mostly against the up trend that it is in currently. During the trading session, the Bulls never even threatened to have a go at the previous day's high whereas the Bears breached the previous day's lows, even if just by a fraction of a point. To us, this is a clear indication of Bulls loosening their grip (refer our Trend Identification Rules ). What's more is the fact that the moving averages are fast catching up, leaving that much less for the Bears to do to tilt the trend in their favor. Further trend will clearly be defined by the Bulls ability to hold 5865 and give a close above 5920.1) The Elder Ray readings : Bull Power reduces from +139 to +95 Bear Power rises from +78 to +64 indicating that the Bulls are giving up faster than the Bears can take in as yet. For today, the Bulls need to overcome the levels of 5940 to maintain their upwards momentum whereas the Bears need to breach the Nifty below the levels of 5845 to regain their lost grounds.2) The Nifty is continuing to close well above all its key EMAs and also above all its key DMAs, indicating that the Bull run can continue.3) The stochastics continue to remain in the overbought zone. 4) In the above chart, the volumes have decreased in yesterday's tight ranged move indicating lack of participation. The MACD continues to flatten out, with the histogram falling indicating that a reversal might be round the corner. The ADX is also suggesting a fall in momentum for the Bulls, but the Bears momentum is not catching up either. The Parabolic SAR continues with its Buy signal with the SL now at 5766.5) Considering the above, our trading plan for the day is as under.a) Around 5935 we will open fresh short positions with a SL of 5955 and a target of 5890. We will add to these short positions only below 5860.b) Around 5880 we will open fresh long positions with a SL of 5860 and a target of 5925. We will add to these long positions only above 5955.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Bull need to close above 5920 today to negate the rounding top being formed.
As discussed yesterday, it was time for caution on the Nifty, as the Nifty moved in a very tight range of just 30 points and that too mostly against the up trend that it is in currently. During the trading session, the Bulls never even threatened to have a go at the previous day's high whereas the Bears breached the previous day's lows, even if just by a fraction of a point. To us, this is a clear indication of Bulls loosening their grip (refer our Trend Identification Rules ). What's more is the fact that the moving averages are fast catching up, leaving that much less for the Bears to do to tilt the trend in their favor. Further trend will clearly be defined by the Bulls ability to hold 5865 and give a close above 5920.
1) The Elder Ray readings : Bull Power reduces from +139 to +95 Bear Power rises from +78 to +64 indicating that the Bulls are giving up faster than the Bears can take in as yet. For today, the Bulls need to overcome the levels of 5940 to maintain their upwards momentum whereas the Bears need to breach the Nifty below the levels of 5845 to regain their lost grounds.
2) The Nifty is continuing to close well above all its key EMAs and also above all its key DMAs, indicating that the Bull run can continue.
3) The stochastics continue to remain in the overbought zone.
Bulls seem to be losing momentum. Bears are looking weak. Caution warranted.On Friday, the Bulls made yet another high on the Nifty, at 5950 and then faltered. They not only gave away the gains due to a positive opening and a new intra-day high, they managed to close the Nifty just above 5900 but almost 30 points below the opening mark. This is an initial indication of the weakening uptrend. A break below 5880 and further below 5830 would set the Bears in.1) The Elder Ray readings : Bull Power reduces from +148 to +139 Bear Power also reduces from +45 to +78 indicating that though the Bulls are faltering, the Bears are far away to take advantage as yet. For today, the Bulls need to overcome the levels of 5970 to maintain their upwards momentum, whereas the Bears need to breach the levels of 5835 to regain their lost grounds.2) The Nifty continues to close well above all its key EMAs and also above all its key DMAs.3) The stochastics are in the overbought zone. 4) In the above chart, the volumes have slightly increased with the fall in the Nifty indicating caution in the up move. The MACD has risen to a top and is smoothing, the histogram is showing signs of falling. The ADX is showing reduction in the momentum for the Bulls. The Parabolic SAR continues with its Buy call.5) Considering the above, our trading plan for the day is as under.a) Around 5880 we will open fresh long positions with a SL of 5860 and a target of 5925. We will add to these long positions only above 5955.b) Around 5935 we will open fresh short positions with a SL of 5955 and a target of 5890. We will add to these short positions only below 5860.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Bulls seem to be losing momentum. Bears are looking weak. Caution warranted.
On Friday, the Bulls made yet another high on the Nifty, at 5950 and then faltered. They not only gave away the gains due to a positive opening and a new intra-day high, they managed to close the Nifty just above 5900 but almost 30 points below the opening mark. This is an initial indication of the weakening uptrend. A break below 5880 and further below 5830 would set the Bears in.
1) The Elder Ray readings : Bull Power reduces from +148 to +139 Bear Power also reduces from +45 to +78 indicating that though the Bulls are faltering, the Bears are far away to take advantage as yet. For today, the Bulls need to overcome the levels of 5970 to maintain their upwards momentum, whereas the Bears need to breach the levels of 5835 to regain their lost grounds.
2) The Nifty continues to close well above all its key EMAs and also above all its key DMAs.
3) The stochastics are in the overbought zone.
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