Bulls have manged to hold on to key support levels. Up move may continue now.As discussed yesterday, Bulls appeared to be losing steam. However, in the later half of the trading session, they made up for their losses and ended the Nifty tilting in their favor. The Nifty opened at 5795 with a positive gap of 24 points, and then traded wildly within the range of 30 points, slowly expanding the range. Two successive attempts by the Bears to pull down the Nifty were thwarted and the Nifty closed at 5837 after making a high of 5848 and a low of 5786. We could take two trades against this trend and booked a profit of 60 points in those two.1) The Elder Ray readings : Bull Power rises from +40 to +65 Bear Power reduces from -14 to +3 indicating that the Bulls have tilted the equilibrium in their favor, buy the Bears are not far away. For today, the Bulls need to overcome the levels of 5860 to maintain their upwards momentum whereas the Bears need to breach the Nifty below 5780 to regain their lost grounds.2) The stochastics are just below the oversold zone and are pointing upwards.3) The Nifty has closed above all its key EMAs and also above its 200DMA. However, it has closed below its 100DMA and 50DMA. 4) In the above chart, the volumes have remained stagnant with the rise in the Nifty depicting that the rise may find resistance at higher levels. The MACD continues to point upwards from the negative zone, with the histogram remaining in the positive. The ADX is suggesting equal weightage to both the Bullish and the Bearish momentum. The Parabolic SAR continues with its Buy signal with a SL at 5611.5) Considering the above, our trading plan for the day is as under.a) Around 5820 we will open fresh long positions with a SL of 5800 and a target of 5890. We will add to these long positions only above 5915.b) Around 5895 we will open fresh short positions with a SL of 5915 and a target of 5830. We will add to these short positions only below 5800.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Bulls have manged to hold on to key support levels. Up move may continue now.
As discussed yesterday, Bulls appeared to be losing steam. However, in the later half of the trading session, they made up for their losses and ended the Nifty tilting in their favor. The Nifty opened at 5795 with a positive gap of 24 points, and then traded wildly within the range of 30 points, slowly expanding the range. Two successive attempts by the Bears to pull down the Nifty were thwarted and the Nifty closed at 5837 after making a high of 5848 and a low of 5786. We could take two trades against this trend and booked a profit of 60 points in those two.
1) The Elder Ray readings : Bull Power rises from +40 to +65 Bear Power reduces from -14 to +3 indicating that the Bulls have tilted the equilibrium in their favor, buy the Bears are not far away. For today, the Bulls need to overcome the levels of 5860 to maintain their upwards momentum whereas the Bears need to breach the Nifty below 5780 to regain their lost grounds.
2) The stochastics are just below the oversold zone and are pointing upwards.
3) The Nifty has closed above all its key EMAs and also above its 200DMA. However, it has closed below its 100DMA and 50DMA.
Nifty holds on to key supports, as the Bears stage a comeback. Equilibrium entered.In our yesterday's post, we had suggested that the Nifty still retained bullish traits. However, the Nifty chose to do otherwise as the Bulls took the back seat. The Nifty opened gap down (46 points) at 5812 and then kept on trading in the negative for the entire trading session. The Nifty closed at 5771 with a loss of 87 points after making a low of 5760. We took one trade in the long direction, which failed, and booked out with a loss of 20 points.1) The Elder Ray readings : Bull Power reduces from +124 to +40 Bear Power rises from +77 to -14 indicating that the Bears have now recovered and this has got the Nifty back into equilibrium. For today, the Bulls need to overcome the levels of 5815 to maintain their upwards momentum whereas the Bears need to breach the levels of 5755 to maintain their downwards momentum. 2) The stochastics are just out of the oversold zone and are pointing downwards.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 stagnated with the fall in the Nifty, indicating lack of participation in this fall. The MACD continues to rise from the negative zone with the histogram remaining in the positive. The ADX is suggesting total equilibrium in the market, with all three lines converging. The Parabolic SAR continues with its buy signal with the SL now at 5599.5) Considering the above, our trading plan for the day is as undera) Around 5715 we will open fresh long positions with a SL of 5695 and a target of 5815. We will add to these long positions only above 5845.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 5695.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Nifty holds on to key supports, as the Bears stage a comeback. Equilibrium entered.
In our yesterday's post, we had suggested that the Nifty still retained bullish traits. However, the Nifty chose to do otherwise as the Bulls took the back seat. The Nifty opened gap down (46 points) at 5812 and then kept on trading in the negative for the entire trading session. The Nifty closed at 5771 with a loss of 87 points after making a low of 5760. We took one trade in the long direction, which failed, and booked out with a loss of 20 points.
1) The Elder Ray readings : Bull Power reduces from +124 to +40 Bear Power rises from +77 to -14 indicating that the Bears have now recovered and this has got the Nifty back into equilibrium. For today, the Bulls need to overcome the levels of 5815 to maintain their upwards momentum whereas the Bears need to breach the levels of 5755 to maintain their downwards momentum.
2) The stochastics are just out of the oversold zone and are pointing downwards.
3) The Nifty has now closed below all its key EMAs and also below all its key DMAs.
Nifty undergoes consolidation as expected. Bullish stance continues as of now.As discussed yesterday, the Nifty was approaching resistances, and traded within the previous day's range for the entire trading session. The Nifty opened with a negative gap of 13 points at 5886 and then traded in a narrow range of 47 points making a low of 5852 and a high of 5899 before closing at 5858 with a loss of 41 points by end of day. We did not trade in this narrow range as none of our trading plans got triggered.1) The Elder Ray readings : Bull Power reduces from +143 to +124 Bear Power also reduces from +61 to +77 indicating that the Bulls have booked profits, but the Bears are nowhere near to take advantage. For today, the Bulls need to overcome the levels of 5915 to maintain their upwards momentum whereas the Bears need to breach the levels of 5790 to regain their lost grounds.2) The stochastics have entered the oversold zone now.3) The Nifty continues to close above all its key EMAs and also above its 200DMA and 100DMA. However it is still below its 50DMA(5927). 4) In the above chart, the volumes have remained stagnant with the fall in the Nifty indicating a pause in the up move on the Nifty. The MACD continues to point upwards from the negative zone, the histogram continues to grow in the positive, indicating bullish undertones. The ADX is suggesting a fall in the bullish momentum, but still is favoring the Bulls. The Parabolic SAR continues with its buy signal with the SL now pegged at 5586.5) Considering the above, our trading plan for the day is as under.a) Around 5800 we will open fresh long positions with a SL of 5780 and a target of 5885. We will add to these long positions only above 5935.b) Around 5915 we will open fresh short positions with a SL of 5935 and a target of 5845. We will add to these short positions only below 5780.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Nifty undergoes consolidation as expected. Bullish stance continues as of now.
As discussed yesterday, the Nifty was approaching resistances, and traded within the previous day's range for the entire trading session. The Nifty opened with a negative gap of 13 points at 5886 and then traded in a narrow range of 47 points making a low of 5852 and a high of 5899 before closing at 5858 with a loss of 41 points by end of day. We did not trade in this narrow range as none of our trading plans got triggered.
1) The Elder Ray readings : Bull Power reduces from +143 to +124 Bear Power also reduces from +61 to +77 indicating that the Bulls have booked profits, but the Bears are nowhere near to take advantage. For today, the Bulls need to overcome the levels of 5915 to maintain their upwards momentum whereas the Bears need to breach the levels of 5790 to regain their lost grounds.
2) The stochastics have entered the oversold zone now.
3) The Nifty continues to close above all its key EMAs and also above its 200DMA and 100DMA. However it is still below its 50DMA(5927).
Post a 3 day up move, the Nifty may choose to cool down. Buy on dips suggested.As discussed yesterday, the Bulls took charge of the Nifty right from the word go. The Nifty opened flat at 5834, and the buying started right there. The Nifty kept on making new day highs, and all dips, which were all less than 20 points, got bought into. The Nifty made a final day high of 5904 in the last hour of trade and closed at 5899 with a gain of 57 points. None of our trading plans however, got triggered, and we sat out on the fence.1) The Elder Ray readings : Bull Power rises from +114 to +143 Bear Power reduces from +11 to + 61 indicating that the Bulls are now firmly in the drivers seat and that the Bears are way out of their safe zone. For today, the Bulls need to overcome the levels of 5925 to keep their upwards momentum going whereas the Bears need to breach the Nifty below 5780 to regain their lost grounds.2) The stochastics are now approaching the oversold zone, but are not quite there as yet.3) The Nifty has closed above all its key EMAs and also above its 200DMA and 100DMA. However, it has closed below its 50DMA(5926), which could be the next resistance. 4) In the above chart, the volumes have decreased with the rise in the Nifty, indicating that the rise may stall shortly. The MACD has now confirmed a breakout, with the histogram moving into the positive. The ADX is also showing a bias towards the Bulls. The Parabolic SAR continues with its buy signal with the SL now at 5573.5) Considering the above, our trading plan for the day is as under.a) Around 5840 we will open fresh long positions with a SL of 5825 and a target of 5920. We will add to these long positions only above 5945.b) Around 5925 we will open fresh short positions with a SL of 5945 and a target of 5865. We will add to these short positions only below 5825.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Post a 3 day up move, the Nifty may choose to cool down. Buy on dips suggested.
As discussed yesterday, the Bulls took charge of the Nifty right from the word go. The Nifty opened flat at 5834, and the buying started right there. The Nifty kept on making new day highs, and all dips, which were all less than 20 points, got bought into. The Nifty made a final day high of 5904 in the last hour of trade and closed at 5899 with a gain of 57 points. None of our trading plans however, got triggered, and we sat out on the fence.
1) The Elder Ray readings : Bull Power rises from +114 to +143 Bear Power reduces from +11 to + 61 indicating that the Bulls are now firmly in the drivers seat and that the Bears are way out of their safe zone. For today, the Bulls need to overcome the levels of 5925 to keep their upwards momentum going whereas the Bears need to breach the Nifty below 5780 to regain their lost grounds.
2) The stochastics are now approaching the oversold zone, but are not quite there as yet.
3) The Nifty has closed above all its key EMAs and also above its 200DMA and 100DMA. However, it has closed below its 50DMA(5926), which could be the next resistance.
Within two trading sessions, the Bulls turned the tables and look good for more.As discussed on Friday, we got a Bullish start to a fresh series. The Nifty opened with a hefty positive gap of 67 points at 5750 and then the Bulls never looked back. The Nifty remained in a up trend throughout the trading session, making a high of 5853 before closing at 5842 with a gain of 160 points. We entered into the trade after the breakout was confirmed and could book out with a profit of 40 points before the last hour of the trade started.1) The Elder Ray readings : Bull Power rises from -22 to +114 Bear Power reduces from -90 to +11 indicating that the Bulls have now gained control on the Nifty and that the Bears are now out of their safe zone. For today, the Bulls need to overcome the levels of 5870 to maintain their upwards momentum whereas the Bears need to breach the levels of 5755 to regain their lost grounds.2) The fast stochastics are already in the overbought zone whereas the slow stochastics are lagging way behind, indicating some more up move in store as of now.3) The Nifty has closed above all its key EMAs and also above its 200DMA. But has closed below its 100DMA(5849) and 50DMA(5924) 4) In the above chart, the volumes have increased with the rise in the Nifty indicating that the rise may continue. The MACD has just given out a positive cross over from the negative zone, which is quite a bullish indication. The ADX is now showing a favor to the Bulls but is indicating loss of overall momentum. The Parabolic SAR has turned into a Buy signal now with a SL of 5566.5) Considering the above, our trading plan for the day is as under.a) Around 5785 we will open fresh long positions with a SL of 5760 and a target of 5890. We will add to these long positions only above 5920.b) Around 5900 we will open fresh short positions with a SL of 5920 and a target of 5820. We will add to these short positions only below 5760.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Within two trading sessions, the Bulls turned the tables and look good for more.
As discussed on Friday, we got a Bullish start to a fresh series. The Nifty opened with a hefty positive gap of 67 points at 5750 and then the Bulls never looked back. The Nifty remained in a up trend throughout the trading session, making a high of 5853 before closing at 5842 with a gain of 160 points. We entered into the trade after the breakout was confirmed and could book out with a profit of 40 points before the last hour of the trade started.
1) The Elder Ray readings : Bull Power rises from -22 to +114 Bear Power reduces from -90 to +11 indicating that the Bulls have now gained control on the Nifty and that the Bears are now out of their safe zone. For today, the Bulls need to overcome the levels of 5870 to maintain their upwards momentum whereas the Bears need to breach the levels of 5755 to regain their lost grounds.
2) The fast stochastics are already in the overbought zone whereas the slow stochastics are lagging way behind, indicating some more up move in store as of now.
3) The Nifty has closed above all its key EMAs and also above its 200DMA. But has closed below its 100DMA(5849) and 50DMA(5924)
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