Nifty stays range bound but maintains its Bullish attire. "Buy the dips" continues.
As discussed yesterday, the Nifty showed its "Neutrality turn to Bullish" pattern. Although the Nifty consolidated in a confined range of 34 points, it never really threatened the advancing of moving averages, which are so critical to the technical broader picture. In the meantime, we got a NR7 day yesterday, and should expect a big move within a day or two from now on. Yesterday, none of our trading plans got triggered, and we sat out watching the gyrations of the Nifty.
1) The Elder Ray readings : Bull Power reduces from +109 to +94 Bear Power also reduces from +51 to +60 indicating that the Bulls are still well placed and that this consolidation has only put back the Bears by that much distance. For today, the Bulls need to overcome the levels of 6240 to maintain their upwards momentum whereas the Bears need to breach the Nifty below 6140 to regain their lost grounds.
2) The stochastics are now in the overbought zone.
3) The Nifty continues to close above all its key EMAs and also above all its key DMAs.
4) In the above chart, the volumes have increased with the stagnation of the Nifty indicating that traders are waiting for direction. The MACD continues to point positive with the histogram remaining above the zero line. The ADX is suggesting a fall in the Bullish momentum but is still favoring the Bulls. The Parabolic SAR continues with its Buy signal with the SL now shifted to 5978.
5) Considering the above, our trading plan for the day is as under.
a) Around 6155 we will open fresh long positions with a SL of 6135 and a target of 6235. We will add to these long positions only above 6270.
b) Around 6250 we will open fresh short positions with a SL of 6270 and a target of 6165. We will add to these short positions only below 6135.
Happy Trading !!!
Buy call given on DISHTV hit its target on 03 Dec 2013
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 showed its "Neutrality turn to Bullish" pattern. Although the Nifty consolidated in a confined range of 34 points, it never really threatened the advancing of moving averages, which are so critical to the technical broader picture. In the meantime, we got a NR7 day yesterday, and should expect a big move within a day or two from now on. Yesterday, none of our trading plans got triggered, and we sat out watching the gyrations of the Nifty.
1) The Elder Ray readings : Bull Power reduces from +109 to +94 Bear Power also reduces from +51 to +60 indicating that the Bulls are still well placed and that this consolidation has only put back the Bears by that much distance. For today, the Bulls need to overcome the levels of 6240 to maintain their upwards momentum whereas the Bears need to breach the Nifty below 6140 to regain their lost grounds.
2) The stochastics are now in the overbought zone.
3) The Nifty continues to close above all its key EMAs and also above all its key DMAs.
4) In the above chart, the volumes have increased with the stagnation of the Nifty indicating that traders are waiting for direction. The MACD continues to point positive with the histogram remaining above the zero line. The ADX is suggesting a fall in the Bullish momentum but is still favoring the Bulls. The Parabolic SAR continues with its Buy signal with the SL now shifted to 5978.
5) Considering the above, our trading plan for the day is as under.
a) Around 6155 we will open fresh long positions with a SL of 6135 and a target of 6235. We will add to these long positions only above 6270.
b) Around 6250 we will open fresh short positions with a SL of 6270 and a target of 6165. We will add to these short positions only below 6135.
Happy Trading !!!
Buy call given on DISHTV hit its target on 03 Dec 2013
Also visit Just Nifty and the Nifty Range blogs.
For cash market recommendations see our Daily Pre Market calls on NSE
Trading plan(a) triggers. But it is too late in the day. Not taking this trade for obvious reasons.
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