Post a healthy profit booking bout, the Nifty is approaching key supports.
As discussed yesterday, the Nifty saw a steady Bull run continuing in the morning session. However, since the Nifty was not able to take out 6110, some profit booking set in and the Nifty drifted down to below the key levels of 6050 and is now approaching important support levels which should be held for this bull run to continue. Our trading plan(a) got triggered in the afternoon session, however, we booked out at the EOD with a minor loss.
1) The Elder Ray readings : Bull Power rises from +82 to +84 Bear Power also rises from +53 to +23 indicating that the Bulls have retained their upwards momentum while the Bears have still more work to do. For today, the Bulls need to overcome the levels of 6105 to maintain their upwards momentum whereas the Bears need to breach the levels of 6020 to regain their lost grounds.
2) The Nifty has yet again closed above all its key EMAs and also above all its key DMAs.
3) The stochastics are still at the overbought zone's boundary and are pointing downwards.
4) In the above chart, the volumes have increased slightly with the fall in the Nifty indicating that the down move may sustain. The MACD continues to point horizontal. the ADX is suggesting a fall in the bullish momentum and a rise in the bearish momentum. However, it is still favoring the up move. The Parabolic SAR continues with its buy call with the SL now pegged at 6019.
5) Considering the above, our trading plan for the day is as under
a) Around 6030 we will open fresh long positions with a SL of 6005 and a target of 6080. We will add to these long positions only above 6095.
b) Around 6085 we will open fresh short positions with a SL of 6095 and a target of 6055. We will add to these short positions only below 6005.
Happy Trading !!!
Also visit Just Nifty and the Nifty Range blogs.
For cash market recommendations see our Daily Pre Market calls on NSE
As discussed yesterday, the Nifty saw a steady Bull run continuing in the morning session. However, since the Nifty was not able to take out 6110, some profit booking set in and the Nifty drifted down to below the key levels of 6050 and is now approaching important support levels which should be held for this bull run to continue. Our trading plan(a) got triggered in the afternoon session, however, we booked out at the EOD with a minor loss.
1) The Elder Ray readings : Bull Power rises from +82 to +84 Bear Power also rises from +53 to +23 indicating that the Bulls have retained their upwards momentum while the Bears have still more work to do. For today, the Bulls need to overcome the levels of 6105 to maintain their upwards momentum whereas the Bears need to breach the levels of 6020 to regain their lost grounds.
2) The Nifty has yet again closed above all its key EMAs and also above all its key DMAs.
3) The stochastics are still at the overbought zone's boundary and are pointing downwards.
4) In the above chart, the volumes have increased slightly with the fall in the Nifty indicating that the down move may sustain. The MACD continues to point horizontal. the ADX is suggesting a fall in the bullish momentum and a rise in the bearish momentum. However, it is still favoring the up move. The Parabolic SAR continues with its buy call with the SL now pegged at 6019.
5) Considering the above, our trading plan for the day is as under
a) Around 6030 we will open fresh long positions with a SL of 6005 and a target of 6080. We will add to these long positions only above 6095.
b) Around 6085 we will open fresh short positions with a SL of 6095 and a target of 6055. We will add to these short positions only below 6005.
Happy Trading !!!
Also visit Just Nifty and the Nifty Range blogs.
For cash market recommendations see our Daily Pre Market calls on NSE
Waiting patiently for trading plan(a) to trigger.
ReplyDeleteOpened long positions at 6035 with SL of 6015 just a small deviation from trading plan(a)
ReplyDeleteAdded one more lot at 6030 as per trading plan (a)
ReplyDeleteBooked out at 6055 with a 45 point profit (20 +25)
ReplyDelete