Bearish outlook aggravates. Positive global cues may provide shorting opportunity.As discussed yesterday, the downtrend continued, as the Nifty opened with a 51 point negative gap down and traded bearishly amidst volatility through out the trading session. Every rise got sold off, however, the days low of 5683 was protected. We were able to book a small profit of 10 points amidst this volatility.1) The Elder Ray readings : Bull Power reduces from -123 to -155 Bear Power rises from -178 to -202 indicating that the Bears are still stronger and the Bulls have heavy work to do now. For today, the Bulls need to overcome the levels of 5855 to regain their lost grounds whereas the Bears need to breach the Nifty below 5650 to maintain their downwards momentum.2) The stochastics are still lying well and deep into the oversold zone.3) The Nifty continues to close well below all its key EMAs and also below all its key DMAs. 4) In the above chart, the volumes have decreased with the fall in the Nifty indicating that the fall may be arrested now. The MACD has gone negative and the histogram is also in the negative. The ADX continues to suggest a rising Bearish momentum. The Parabolic SAR continues to give out its sell signal with the SL now at 5915.5) Considering the above, our trading plan for the day is as under. a) Around 5750 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 5630.b) Around 5645 we will open fresh long positions with a SL of 5630 and a target of 5700. We will add to these long positions only above 5770.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Bearish outlook aggravates. Positive global cues may provide shorting opportunity.
As discussed yesterday, the downtrend continued, as the Nifty opened with a 51 point negative gap down and traded bearishly amidst volatility through out the trading session. Every rise got sold off, however, the days low of 5683 was protected. We were able to book a small profit of 10 points amidst this volatility.
1) The Elder Ray readings : Bull Power reduces from -123 to -155 Bear Power rises from -178 to -202 indicating that the Bears are still stronger and the Bulls have heavy work to do now. For today, the Bulls need to overcome the levels of 5855 to regain their lost grounds whereas the Bears need to breach the Nifty below 5650 to maintain their downwards momentum.
2) The stochastics are still lying well and deep into the oversold zone.
3) The Nifty continues to close well below all its key EMAs and also below all its key DMAs.
Nifty consolidated yesterday, but the bearish undertone has risen. Bears set to rule.As discussed yesterday, we saw Bears tightening the screw despite several attempts by the Bulls to recover the 200DMA. The Nifty opened with a negative gap of 17 points. Then filled the gap and got sold off to reach our identified support zone at 5739 and bounced back to the 200DMA level at 5793, before getting sold off again to close at 5760 with a loss of 29 points. We did not trade yesterday as we were away from the terminals.1) The Elder Ray readings : Bull Power reduces from -74 to -123 Bear Power rises from -162 to -178 indicating that the Bears are now getting stronger while the Bulls are out of their safe zone. For today, the Bulls need to overcome the levels of 5895 to recover their lost grounds where as the Bears need to breach the levels of 5710 to maintain their downwards momentum.2) The stochastics continue to be in the oversold zone confirming the down trend.3) The Nifty continues to close below all its key EMAs and also below all its key DMAs. 4) In the above chart, the volumes remain high with the fall in the Nifty suggesting that the down move may continue. The MACD has turned negative with the histogram also growing in the negative. The ADX is suggesting a rising momentum favoring the Bears. The Parabolic SAR continues with its sell signal with a SL of 5965.5) Considering the above, our trading plan for the day is as under.a) Around 5700 we will open fresh long positions with a SL of 5685 and a target of 5760. We will add to these long positions only above 5830.b) Around 5800 we will open fresh short positions with a SL of 5830 and a target of 5700. We will add to these short positions only below 5685.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Nifty consolidated yesterday, but the bearish undertone has risen. Bears set to rule.
As discussed yesterday, we saw Bears tightening the screw despite several attempts by the Bulls to recover the 200DMA. The Nifty opened with a negative gap of 17 points. Then filled the gap and got sold off to reach our identified support zone at 5739 and bounced back to the 200DMA level at 5793, before getting sold off again to close at 5760 with a loss of 29 points. We did not trade yesterday as we were away from the terminals.
1) The Elder Ray readings : Bull Power reduces from -74 to -123 Bear Power rises from -162 to -178 indicating that the Bears are now getting stronger while the Bulls are out of their safe zone. For today, the Bulls need to overcome the levels of 5895 to recover their lost grounds where as the Bears need to breach the levels of 5710 to maintain their downwards momentum.
2) The stochastics continue to be in the oversold zone confirming the down trend.
3) The Nifty continues to close below all its key EMAs and also below all its key DMAs.
After multiple failed attempts of recovery, Bears make merry on the bourses.As discussed yesterday in our post Bull fail yet again, Bears drove in their advantage as the Nifty collapsed. The Nifty opened with a negative gap of 29 points at 5849, failed to bridge the gap at 5868 and got sold off. During the day, there were many attempts by the Bulls for recovery. We saw a intraday rally of 50 points from the lows at one point of time. However, in the end, the Bears prevailed and took the Nifty below 5800 to make a low of 5780 before closing at 5788. In all this mayhem, we were able to book a profit of 15 points in two trades taken.1) The Elder Ray readings : Bull Power reduces from -36 to -74 Bear Power rises from -110 to -162 indicating that the Bears are now really at advantage and the Bulls need to wake up now. For today, the Bulls need to overcome the levels of 5925 to regain their lost grounds whereas the Bears need to breach the levels of 5755 to maintain their downwards momentum.2) The stochastics remain in the oversold zone confirming the Bearish momentum.3) The Nifty has now closed below all its key EMAs and also below all its key DMAs. 4) In the above chart the volumes have increased with the rise in the Nifty indicating that the downmove may continue. The MACD is now going into the negative with the histogram also growing in the negative zone. The ADX is suggesting bottoming out of the overall momentum with a favor to the Bears. The Parabolic SAR continues with its Sell signal with the SL now pegged at 6009.5) Considering the above, our trading plan for the day is as under.a) Around 5735 we will open fresh long positions with a SL of 5715 and a target of 5810. We will add to these long positions only above 5840.b) Around 5825 we will open fresh short positions with a SL of 5845 and a target of 5740. We will add to these short positions only below 5715.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
After multiple failed attempts of recovery, Bears make merry on the bourses.
As discussed yesterday in our post Bull fail yet again, Bears drove in their advantage as the Nifty collapsed. The Nifty opened with a negative gap of 29 points at 5849, failed to bridge the gap at 5868 and got sold off. During the day, there were many attempts by the Bulls for recovery. We saw a intraday rally of 50 points from the lows at one point of time. However, in the end, the Bears prevailed and took the Nifty below 5800 to make a low of 5780 before closing at 5788. In all this mayhem, we were able to book a profit of 15 points in two trades taken.
1) The Elder Ray readings : Bull Power reduces from -36 to -74 Bear Power rises from -110 to -162 indicating that the Bears are now really at advantage and the Bulls need to wake up now. For today, the Bulls need to overcome the levels of 5925 to regain their lost grounds whereas the Bears need to breach the levels of 5755 to maintain their downwards momentum.
2) The stochastics remain in the oversold zone confirming the Bearish momentum.
3) The Nifty has now closed below all its key EMAs and also below all its key DMAs.
Bears stall the attempted bounce on the Nifty. But they need to breach key supports.As discussed yesterday, despite global cues supporting the Bulls, every bounce back attempted was stalled and got sold off immediately. However, the Nifty respected key support levels, and showed signs of consolidation. The Nifty opened with a positive up gap of 27 points rallied to make a high of 5932 and then traded bearishly to make a low of 5857 and closed flat at 5878 with a loss of just 3 points. None of our trading plans got triggered and we were happy to sit on the sidelines and watch the gyrations of the Nifty.1) The Elder Ray readings : Bull Power reduces from -10 to -36 Bear Power also reduces a bit from -111 to -110 indicating that the Bulls are still out of their safe zone as the Bears are getting ready to strike. For today, the Bulls need to overcome the levels of 5955 to regain their lost grounds whereas the Bears need to breach the levels of 5845 to retain their downwards momentum.2) The stochastics continue to remain in the oversold zone confirming the bearish trend.3) The Nifty has closed yet again below all its key EMAs and also below its 50DMA and 100DMA. However, it is above its 200DMA(5793). 4) In the above chart, the volumes have decreased with the fall in the Nifty indicating that supports may be round the corner. The MACD has turned negative, as the histogram starts to rise from the negative zone. The ADX is suggesting a rise in the Bearish momentum. The Parabolic SAR continues with its sell signal with the SL now at 6046.5) Considering the above, our trading plan for the day is as under.a) Around 5825 we will open fresh long positions with a SL of 5805 and a target of 5895. We will add to these long positions only above 5950.b) Around 5935 we will open fresh short positions with a SL of 5950 and a target of 5840. We will add to these short positions only below 5805.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Bears stall the attempted bounce on the Nifty. But they need to breach key supports.
As discussed yesterday, despite global cues supporting the Bulls, every bounce back attempted was stalled and got sold off immediately. However, the Nifty respected key support levels, and showed signs of consolidation. The Nifty opened with a positive up gap of 27 points rallied to make a high of 5932 and then traded bearishly to make a low of 5857 and closed flat at 5878 with a loss of just 3 points. None of our trading plans got triggered and we were happy to sit on the sidelines and watch the gyrations of the Nifty.
1) The Elder Ray readings : Bull Power reduces from -10 to -36 Bear Power also reduces a bit from -111 to -110 indicating that the Bulls are still out of their safe zone as the Bears are getting ready to strike. For today, the Bulls need to overcome the levels of 5955 to regain their lost grounds whereas the Bears need to breach the levels of 5845 to retain their downwards momentum.
2) The stochastics continue to remain in the oversold zone confirming the bearish trend.
3) The Nifty has closed yet again below all its key EMAs and also below its 50DMA and 100DMA. However, it is above its 200DMA(5793).
After two failed attempts, Bulls get support from global cues. Will they make up?As discussed on Friday, it was sort of a trendsetting weekend. The Nifty opened with a negative gap down of 21 points then traded bearishly for the first hour of trade making a low of 5887. Then the Bulls took over and pulled the Nifty above 5900 and then 5950 making a high of 5973, which was right next to our selling levels. From there the Nifty got sold off heavily to breach the intra-day lows and make a new low at 5871 before closing at 5881. Our trading plan(a) triggered and we booked out with a 40 point profit in just one single trade.1) The Elder Ray readings : Bull Power rises from -43 to -10 Bear Power reduces from -130 to -111, indicating that the Bulls are nearing their safety zone and have a good chance of staging a comeback. The Bears are still stronger though. For today, the Bulls need to overcome the levels of 5970 to regain their lost grounds whereas the Bears need to breach the levels of 5860 to maintain their downwards momentum.2) The stochastics are now well and deep into the oversold zone.3) The Nifty has closed below all its key EMAs and also below its 50DMA and 100DMA. It has however, closed above its 200DMA (5790) 4) In the above chart, the volumes have remained stagnant with the fall in the Nifty indicating that the down move may continue. The MACD is threatening to go negative, with the histogram continuing to remain negative. The ADX is suggesting a loss of momentum for the Bears but is still favoring them. The Parabolic SAR continues with its sell signal with the SL now at 6071.5) 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 5835. We will add to these short positions only below 5810.b) Around 5825 we will open fresh long positions with a SL of 5810 and a target of 5910. 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
After two failed attempts, Bulls get support from global cues. Will they make up?
As discussed on Friday, it was sort of a trendsetting weekend. The Nifty opened with a negative gap down of 21 points then traded bearishly for the first hour of trade making a low of 5887. Then the Bulls took over and pulled the Nifty above 5900 and then 5950 making a high of 5973, which was right next to our selling levels. From there the Nifty got sold off heavily to breach the intra-day lows and make a new low at 5871 before closing at 5881. Our trading plan(a) triggered and we booked out with a 40 point profit in just one single trade.
1) The Elder Ray readings : Bull Power rises from -43 to -10 Bear Power reduces from -130 to -111, indicating that the Bulls are nearing their safety zone and have a good chance of staging a comeback. The Bears are still stronger though. For today, the Bulls need to overcome the levels of 5970 to regain their lost grounds whereas the Bears need to breach the levels of 5860 to maintain their downwards momentum.
2) The stochastics are now well and deep into the oversold zone.
3) The Nifty has closed below all its key EMAs and also below its 50DMA and 100DMA. It has however, closed above its 200DMA (5790)
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