Nifty - 08 Feb 2013 - Bears hold fort

Bears continue to control the Nifty, as it reaches the rising trendline support levels.

As discussed yesterday, the downward drift continued on the Nifty, as the Nifty opened with a 23 point down gap, tried to recover the losses, made a lower high and then got sold off to breach the previous day's lows before closing at 5939 with a loss of 20 points. At the opening mark, our trading plan(b) missed the entry point by a whisker and yet hit its target. Also our trading plan(a) missed the entry point by just a whisker and hit its target. Late in the afternoon, our trading plan(b) again got triggered, and by the EOD, we could book out with a small profit of 5 points.

1) The Elder Ray readings : Bull Power reduces from -18 to -20 Bear Power rises from -56 to -71 indicating that Bears are now getting more of the control on the Nifty. For today, the Bulls need to overcome the levels of 6000 to regain their lost grounds whereas the Bears need to breach the Nifty below 5915 to maintain their downwards momentum

2) The Nifty has closed below its key EMAs and also below its 50DMA. However, it has closed above its 100DMA and 200DMA.

3) The stochastics remain well and deep into the oversold zone.

 

4) In the above chart, the volumes have stagnated with the fall in the Nifty indicating that supports are just round the corner. The MACD continues to be in the negative but seems to be pausing. The ADX is suggesting a rise in the bearish momentum. The Parabolic SAR continues to give out its sell signal with a SL now pegged at 6083.

5) Considering the above, our trading plan for the day is as under.

a) Around 5965 we will open fresh short positions with a SL of 5980 and a target of 5925. We will add to these short positions only below 5900.

b) Around 5915 we will open fresh long positions with a SL of 5900 and a target of 5955. We will add to these long positions only above 5980.

Happy Trading !!! 

    

Also visit Just Nifty and the Nifty Range blogs.



For cash market recommendations see our Daily Pre Market calls on NSE

Nifty - 08 Feb 2013 - Bears hold fort

Bears continue to control the Nifty, as it reaches the rising trendline support levels.

As discussed yesterday, the downward drift continued on the Nifty, as the Nifty opened with a 23 point down gap, tried to recover the losses, made a lower high and then got sold off to breach the previous day's lows before closing at 5939 with a loss of 20 points. At the opening mark, our trading plan(b) missed the entry point by a whisker and yet hit its target. Also our trading plan(a) missed the entry point by just a whisker and hit its target. Late in the afternoon, our trading plan(b) again got triggered, and by the EOD, we could book out with a small profit of 5 points.

1) The Elder Ray readings : Bull Power reduces from -18 to -20 Bear Power rises from -56 to -71 indicating that Bears are now getting more of the control on the Nifty. For today, the Bulls need to overcome the levels of 6000 to regain their lost grounds whereas the Bears need to breach the Nifty below 5915 to maintain their downwards momentum

2) The Nifty has closed below its key EMAs and also below its 50DMA. However, it has closed above its 100DMA and 200DMA.

3) The stochastics remain well and deep into the oversold zone.

Nifty - 07 Feb 2013 - Downward drift continues

Nifty continues to drift downwards, in spite of gap up openings. Bearishness holds.

As discussed yesterday, Bears gained momentum on the Nifty, as in spite of a 32 point gap up opening, the Nifty struggled at those levels, and gave up all the gains, to close with a minor gain of just 2 points. The Nifty yet again took support at the developing 50DMA levels, and the Bears were unable to breach the previous day's lows, which was the chink in their armor. Our trading plan (a) got triggered, never even threatened to meet the SL, and by the EOD we could book out with a profit of 28 points.

1) The Elder Ray readings : Bull Power rises from -47 to -18 Bear Power reduces from -70 to -56 indicating that the Bulls are clawing back, but the Bears are still more powerful. For today, the Bulls need to overcome the levels of 6010 to regain their lost grounds, whereas the Bears need to breach the Nifty below the levels of 5940 to maintain their downwards momentum.

2) The Nifty has yet again closed below all its key EMAs but above all its key DMAs. As said above, the 50DMA at 5954 is a key level to watch out for.

3) The stochastics are well and deep into the oversold zone.

 

4) In the above chart, the volumes have increased with the stagnation in the Nifty, indicating that some sort of accumulation is happening underlying. The MACD has stopped falling but still is in the negative. The ADX is suggesting a slowing of the bearish momentum, but bears are still in its favor. The Parabolic SAR continues to give out its sell signal with a SL at 6093.

5) Considering the above, our trading plan for the day is as under.

a) Around 5980 we will open fresh short positions with a SL at 6000 and a target of 5940. We will add to these short positions only below 5920.

b) Around 5935 we will open fresh long positions with a SL of 5920 and a target of 5975. We will add to these long positions only above 6000.

Happy Trading !!!      

Also visit Just Nifty and the Nifty Range blogs.


For cash market recommendations see our Daily Pre Market calls on NSE

Nifty - 07 Feb 2013 - Downward drift continues

Nifty continues to drift downwards, in spite of gap up openings. Bearishness holds.

As discussed yesterday, Bears gained momentum on the Nifty, as in spite of a 32 point gap up opening, the Nifty struggled at those levels, and gave up all the gains, to close with a minor gain of just 2 points. The Nifty yet again took support at the developing 50DMA levels, and the Bears were unable to breach the previous day's lows, which was the chink in their armor. Our trading plan (a) got triggered, never even threatened to meet the SL, and by the EOD we could book out with a profit of 28 points.

1) The Elder Ray readings : Bull Power rises from -47 to -18 Bear Power reduces from -70 to -56 indicating that the Bulls are clawing back, but the Bears are still more powerful. For today, the Bulls need to overcome the levels of 6010 to regain their lost grounds, whereas the Bears need to breach the Nifty below the levels of 5940 to maintain their downwards momentum.

2) The Nifty has yet again closed below all its key EMAs but above all its key DMAs. As said above, the 50DMA at 5954 is a key level to watch out for.

3) The stochastics are well and deep into the oversold zone.

Nifty - 06 Feb 2013 - Bears gain momentum

Even after passing the 50DMA test, the Bulls have lost control on Nifty.

As discussed yesterday, the Nifty tested the 50DMA support levels, and stayed above those levels throughout the trading session. The Nifty opened with a negative gap of about 40 points and regained about 10 points by closing above the opening mark. The Nifty now seems to be poised for a bounce back, but this bounce could be short lived, it seems. Our trading plan(a) got triggered, but as the Nifty consolidated in a tight range, we could book only a minor gain of just 3 points by EOD.

1) The Elder Ray readings : Bull Power reduces from +11 to -47 Bear Power rises from -46 to -30 indicating that the Bears are now in the drivers seat and that the Bulls have given up their control on the Nifty. For today, the Bulls need to overcome the levels of 6005 to regain their lost grounds whereas the Bears need to breach the Nifty below 5930 to maintain their downwards momentum.

2) The Nifty has closed below all its key EMAs but has closed above all its key DMAs.

3) The stochastics are well and deep into the oversold zone.

 

4) In the above chart, the volumes have decreased with the fall in the Nifty indicating that this fall could be arrested soon. The MACD is growing on the negative side, indicating bearishness on the Nifty. The ADX is also suggesting a rising momentum in favor of the Bears. The Parabolic SAR continues with its sell signal with the SL now at 6103.

5) Considering the above, our trading plan for the day is as under.

a) Around 5985 we will open fresh short positions with a SL of 6005 and a target of 5945. We will add to these short positions only below 5915.

b) Around 5930 we will open fresh long positions with a SL of 5915 and a target of 5965. We will add to these long positions only above 6005.

Happy Trading !!!   

Also visit Just Nifty and the Nifty Range blogs.



For cash market recommendations see our Daily Pre Market calls on NSE

Nifty - 06 Feb 2013 - Bears gain momentum

Even after passing the 50DMA test, the Bulls have lost control on Nifty.

As discussed yesterday, the Nifty tested the 50DMA support levels, and stayed above those levels throughout the trading session. The Nifty opened with a negative gap of about 40 points and regained about 10 points by closing above the opening mark. The Nifty now seems to be poised for a bounce back, but this bounce could be short lived, it seems. Our trading plan(a) got triggered, but as the Nifty consolidated in a tight range, we could book only a minor gain of just 3 points by EOD.

1) The Elder Ray readings : Bull Power reduces from +11 to -47 Bear Power rises from -46 to -30 indicating that the Bears are now in the drivers seat and that the Bulls have given up their control on the Nifty. For today, the Bulls need to overcome the levels of 6005 to regain their lost grounds whereas the Bears need to breach the Nifty below 5930 to maintain their downwards momentum.

2) The Nifty has closed below all its key EMAs but has closed above all its key DMAs.

3) The stochastics are well and deep into the oversold zone.

Nifty - 05 Feb 2013 - Test of 50DMA eminent

As Nifty gets ready for a 50DMA test, Bulls have yet another chance to save grace.

As discussed yesterday, the Nifty after resorting to key support levels, had bounced back on the previous day. Yesterday, supported by positive global cues, the Nifty opened with a smart positive gap up of 26 points and ran into our suggested resistance zone at 6030. The Nifty made a high of 6039 and then got sold off, with the down move getting accelerated in the afternoon. The day's low missed our target of 5980 by a whisker. Our trading plan(a) got triggered and we could book a comfortable profit of 38 points by the end of the day.

1) The Elder Ray readings : Bull Power reduces from +19 to +11 Bear Power also reduces from -51 to -46 indicating that the Bulls have survived the carnage as yet. For today, the Bulls need to overcome the levels of 6040 to maintain their upwards momentum whereas the Bears need to breach the levels of 5975 to maintain their downwards momentum.

2) The Nifty has closed below all its key EMAs but has closed above all its key DMAs. Also to be noted is that the 8EMA is now below the 13EMA which is a sign of danger for the Bulls.

3) The fast stochastics are well into the oversold zone followed closely by the slow stochastics, giving credence to a bullish bounce back for once.

 

4)  In the above chart, the volumes have stagnated while the Nifty fell yesterday, indicating that the down move may get arrested. The MACD is now well in the negative favoring the down move. The ADX is favoring the Bears but suggesting a loss of momentum for them. The Parabolic SAR continues with its sell signal with a SL at 6109.

5) Considering the above, our trading plan for the day is as under.

a) Above 5955, we will open fresh long positions with a SL of 5940 and a target of 6015. We will add to these long positions only above 6030.

b) Around 6020, we will open fresh short positions with a SL of 6030 and a target of 5990. We will add to these short positions only below 5940.

Happy Trading !!!     

Also visit Just Nifty and the Nifty Range blogs.



For cash market recommendations see our Daily Pre Market calls on NSE

Nifty - 05 Feb 2013 - Test of 50DMA eminent

As Nifty gets ready for a 50DMA test, Bulls have yet another chance to save grace.

As discussed yesterday, the Nifty after resorting to key support levels, had bounced back on the previous day. Yesterday, supported by positive global cues, the Nifty opened with a smart positive gap up of 26 points and ran into our suggested resistance zone at 6030. The Nifty made a high of 6039 and then got sold off, with the down move getting accelerated in the afternoon. The day's low missed our target of 5980 by a whisker. Our trading plan(a) got triggered and we could book a comfortable profit of 38 points by the end of the day.

1) The Elder Ray readings : Bull Power reduces from +19 to +11 Bear Power also reduces from -51 to -46 indicating that the Bulls have survived the carnage as yet. For today, the Bulls need to overcome the levels of 6040 to maintain their upwards momentum whereas the Bears need to breach the levels of 5975 to maintain their downwards momentum.

2) The Nifty has closed below all its key EMAs but has closed above all its key DMAs. Also to be noted is that the 8EMA is now below the 13EMA which is a sign of danger for the Bulls.

3) The fast stochastics are well into the oversold zone followed closely by the slow stochastics, giving credence to a bullish bounce back for once.

Nifty - 04 Feb 2013 - Resorting to key support levels

Bears have regained their footing, as Nifty tests key supports. Bulls need to act fast.

During the past two trading sessions, which have been quite fruifull for the Bears, we have been on a mini vacation. The Bears have hammered the Nifty from 6056 to 5999 during these two sessions, and have thus, regained their footing, and now the onus is on the Bulls to act fast and regain their control of the Nifty. The silver lining for the Bulls is that the Nifty is resting on key support levels.

1) The Elder Ray readings : Bull Power rises from +18 to +19 Bear Power also rises from -15 to -51, indicating that now the Bears are not only into their own territory, they are stronger than the Bulls. For today, the Bulls need to overcome the levels of 6055 to maintain their upwards momentum whereas the Bears need to breach the Nifty below 5975 to maintain their downwards momentum.

2) The Nifty has closed below all its key EMAs but has closed above all its key DMAs.

3) The stochastics are in the neutral zone and are pointing downwards.

 

4)  In the above chart, the volumes have decreased with the fall in the Nifty indicating that this down-move may get arrested soon. The MACD is now giving a clear negative signal. The ADX is favoring the Bears but suggesting lowering of the overall Nifty momentum. The Parabolic SAR is giving out a sell signal with a SL at 6112.

5) Considering the above, our trading plan for the day is as under.

a) Around 6030, we will open fresh short positions with a SL of 6040 and a target of 5980. We will add to these short positions only below 5955.

b) Around 5965, we will open fresh long positions with a SL of 5955 and a target of 6015. We will add to these long positions only above 6040.

Happy Trading !!!      

Also visit Just Nifty and the Nifty Range blogs.


For cash market recommendations see our Daily Pre Market calls on NSE

Nifty - 04 Feb 2013 - Resorting to key support levels

Bears have regained their footing, as Nifty tests key supports. Bulls need to act fast.

During the past two trading sessions, which have been quite fruifull for the Bears, we have been on a mini vacation. The Bears have hammered the Nifty from 6056 to 5999 during these two sessions, and have thus, regained their footing, and now the onus is on the Bulls to act fast and regain their control of the Nifty. The silver lining for the Bulls is that the Nifty is resting on key support levels.

1) The Elder Ray readings : Bull Power rises from +18 to +19 Bear Power also rises from -15 to -51, indicating that now the Bears are not only into their own territory, they are stronger than the Bulls. For today, the Bulls need to overcome the levels of 6055 to maintain their upwards momentum whereas the Bears need to breach the Nifty below 5975 to maintain their downwards momentum.

2) The Nifty has closed below all its key EMAs but has closed above all its key DMAs.

3) The stochastics are in the neutral zone and are pointing downwards.