Bulls take charge of the Nifty but global cues are against them to start with today.As discussed yesterday, the Nifty looked Bearish despite the recovery that started day before yesterday. However, the Bulls had other ideas. The Nifty opened with a positive gap of 39 points at 5819 made a quick low of 5803 and then swiftly went above and sustained the opening gap throughout the trading session. The Nifty made a high of 5918 before closing emphatically near the highs at 5910 with a whopping gain of 130 points. We entered into a short trade and were stopped out with a loss of 38 points.1) The Elder Ray readings : Bull Power rises from -40 to +79 Bear Power reduces from -126 to -36 indicating that the Bulls have not only regained their safe zone, they are in the driver's seat as of now. However, the Bears are still not out of the reckoning. For today, the Bulls need to overcome the levels of 5930 to maintain their upwards momentum whereas the Bears need to breach the Nifty below 5795 to maintain their downwards momentum.2) The stochastics are looking up just after touching the top of the oversold zone.3) The Nifty has now closed above all its key EMAs and also above all its key DMAs. 4) In the above chart, the volumes have increased with the rise in the Nifty indicating that the up-move should continue. The MACD is still showing negative direction with the histogram too remaining in the negative. The ADX is showing convergence of all three indicators, indicating a certain equilibrium on the Nifty. The Parabolic SAR continues with its sell signal with the SL now brought down to 6041.5) Considering the above, our trading plan for the day is as under.a) Around 5845 we will open fresh long positions with a SL of 5815 and a target of 5945. We will add to these long positions only above 5975.b) Around 5955 we will open fresh short positions with a SL of 5975 and a target of 5870. We will add to these short positions only below 5815.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Bulls take charge of the Nifty but global cues are against them to start with today.
As discussed yesterday, the Nifty looked Bearish despite the recovery that started day before yesterday. However, the Bulls had other ideas. The Nifty opened with a positive gap of 39 points at 5819 made a quick low of 5803 and then swiftly went above and sustained the opening gap throughout the trading session. The Nifty made a high of 5918 before closing emphatically near the highs at 5910 with a whopping gain of 130 points. We entered into a short trade and were stopped out with a loss of 38 points.
1) The Elder Ray readings : Bull Power rises from -40 to +79 Bear Power reduces from -126 to -36 indicating that the Bulls have not only regained their safe zone, they are in the driver's seat as of now. However, the Bears are still not out of the reckoning. For today, the Bulls need to overcome the levels of 5930 to maintain their upwards momentum whereas the Bears need to breach the Nifty below 5795 to maintain their downwards momentum.
2) The stochastics are looking up just after touching the top of the oversold zone.
3) The Nifty has now closed above all its key EMAs and also above all its key DMAs.
Bulls stage a recovery after a Bearish opening hour. Yet Nifty remains Sell on Rise.As discussed on Tuesday, the Bearish mood gathered momentum on the Nifty. The Nifty opened with a positive gap of 21 points but from the word go, the Nifty started to drift downwards and in the first hour itself touched 5701 which was to be the day's low. From thereon, the Bulls started their buying pressure, and the Nifty recovered to make a high of 5786 (which was lower than previous day's high 5810) before closing at 5780 with a gain of 45 points. We took a trade on the short side and could book a profit of 55 points on that trade.1) The Elder Ray readings : Bull Power reduces from -24 to -40 Bear Power rises from -116 to -126 indicating that the Bears are still in full control of the Nifty. For today, the Bulls need to overcome the levels of 5825 to regain their lost grounds whereas the Bears need to breach the levels of 5690 to maintain their downwards momentum.2) The stochastics are just above the oversold zone and are pointing across each other.3) The Nifty has closed below all its key EMAs and also below its 200DMA and 100DMA. However, it has closed above its 50DMA (5709) 4) In the above chart, the volumes have decreased with the rise in the Nifty, indicating that the rise may meet resistance soon. The MACD continues to be Bearish with the histogram also growing in the negative. The ADX is suggesting a minor loss of momentum for the Bears but is still favoring the Bears. The Parabolic SAR continues to give out its sell signal with the SL now shifted down to 6071.5) Considering the above, our trading plan for the day is as under.a) Around 5840 we will open fresh short positions with a SL of 5870 and a target of 5740. We will add to these short positions only below 5690.b) Around 5715 we will open fresh long positions with a SL of 5690 and a target of 5790. We will add to these long positions only above 5870. Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Bulls stage a recovery after a Bearish opening hour. Yet Nifty remains Sell on Rise.
As discussed on Tuesday, the Bearish mood gathered momentum on the Nifty. The Nifty opened with a positive gap of 21 points but from the word go, the Nifty started to drift downwards and in the first hour itself touched 5701 which was to be the day's low. From thereon, the Bulls started their buying pressure, and the Nifty recovered to make a high of 5786 (which was lower than previous day's high 5810) before closing at 5780 with a gain of 45 points. We took a trade on the short side and could book a profit of 55 points on that trade.
1) The Elder Ray readings : Bull Power reduces from -24 to -40 Bear Power rises from -116 to -126 indicating that the Bears are still in full control of the Nifty. For today, the Bulls need to overcome the levels of 5825 to regain their lost grounds whereas the Bears need to breach the levels of 5690 to maintain their downwards momentum.
2) The stochastics are just above the oversold zone and are pointing across each other.
3) The Nifty has closed below all its key EMAs and also below its 200DMA and 100DMA. However, it has closed above its 50DMA (5709)
Nifty starts the month with a bearish sentiment around. Sell on Rise is the mantra.As discussed yesterday, we saw Bulls losing their grip at the end of the month. The Nifty opened with a negative gap of 32 points at 5801, made a quick high of 5810 and then slid below 5780 swiftly. Then the Nifty traded bearishly between 5745 and 5780 for almost 5 hours. In the last hour, there was an attempt to recovery which got fizzled out immediately and the Nifty breached the day's low to make a new low at 5719 and closed at 5735 with a loss of 98 points. We took a trade on the short side and booked out with a profit of 55 points.1) The Elder Ray readings : Bull Power reduces from +58 to -24 Bear Power rises from -31 to -116 indicating that the Bulls have now surrendered their safe zone and need to recover immediately. For today the Bulls need to overcome the levels of 5825 to regain their lost grounds whereas the Bears need to breach the levels of 5705 to maintain their downwards momentum.2) The stochastics are are approaching the oversold zone, and are pointing downwards, indicating some more room for a further fall.3) The Nifty has now closed below all its key EMAs and also below its 200DMA and 100DMA. However, it has closed above its 50DMA (5791). 4) In the above chart, the volumes have remained stagnant with the fall in the Nifty indicating that Nifty may find support soon. The MACD has now triggered on the downside, with the histogram also turning negative. The ADX is suggesting a rise in the downwards momentum. The Parabolic SAR continues with its sell signal with the SL now shifted down to 6095.5) Considering the above, our trading plan for the day is as under.a) Around 5760 we will open fresh short positions with a SL of 5785 and a target of 5695. We will add to these short positions only below 5645.b) Around 5675 we will open fresh long positions with a SL of 5645 and a target of 5745. We will add to these long positions only above 5785.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
Nifty starts the month with a bearish sentiment around. Sell on Rise is the mantra.
As discussed yesterday, we saw Bulls losing their grip at the end of the month. The Nifty opened with a negative gap of 32 points at 5801, made a quick high of 5810 and then slid below 5780 swiftly. Then the Nifty traded bearishly between 5745 and 5780 for almost 5 hours. In the last hour, there was an attempt to recovery which got fizzled out immediately and the Nifty breached the day's low to make a new low at 5719 and closed at 5735 with a loss of 98 points. We took a trade on the short side and booked out with a profit of 55 points.
1) The Elder Ray readings : Bull Power reduces from +58 to -24 Bear Power rises from -31 to -116 indicating that the Bulls have now surrendered their safe zone and need to recover immediately. For today the Bulls need to overcome the levels of 5825 to regain their lost grounds whereas the Bears need to breach the levels of 5705 to maintain their downwards momentum.
2) The stochastics are are approaching the oversold zone, and are pointing downwards, indicating some more room for a further fall.
3) The Nifty has now closed below all its key EMAs and also below its 200DMA and 100DMA. However, it has closed above its 50DMA (5791).
A late evening sell off, takes the grip away from the Bulls. Bearishness creeps in.As discussed on Friday, the Nifty was in equilibrium at the start of a fresh series. The Nifty opened with a 23 point positive gap up. But could not maintain it. The Nifty made a quick high at 5909 and then traded sheepishly but below 5900 throughout the trading session. In the last hour of trade though the Nifty slid below 5850 and closed at 5833 with a loss of 49 points after making a day low of 5819.1) The Elder Ray readings : Bull Power reduces from +64 to +58 Bear Power rises from +10 to -31 indicating that the Bears have now recovered and the Bulls are slipping out, but still in the reckoning. For today the Bulls need to overcome the levels of 5910 to maintain their upwards momentum whereas the Bears need to breach the Nifty below 5815 to maintain their downwards momentum.2) The stochastics are still in the neutral zone and are pointing downwards.3) The Nifty has closed below its 8EMA and 13EMA, but has closed above its 21EMA. The Nifty has also closed below its 200DMA, but above its 10DMA and 50DMA. 4) In the above chart, the volumes have decreased with the fall in the Nifty indicating that the fall may get arrested soon. The MACD has just about completed its trigger on the short side, with the histogram now ready to fall below zero. The ADX is showing a crossover of the Bearish momentum over the Bullish momentum. The Parabolic SAR continues with its sell signal with the SL now shifted down to 6110.5) Considering the above, our trading plan for the day is as under.a) Around 5860 we will open fresh short positions with a SL of 5885 and a target of 5760. We will add to these short positions only below 5735.b) Around 5755 we will open fresh long positions with a SL of 5735 and a target of 5835. We will add to these long positions only above 5885.Happy Trading !!! Also visit Just Nifty and the Nifty Range blogs.For cash market recommendations see our Daily Pre Market calls on NSE
A late evening sell off, takes the grip away from the Bulls. Bearishness creeps in.
As discussed on Friday, the Nifty was in equilibrium at the start of a fresh series. The Nifty opened with a 23 point positive gap up. But could not maintain it. The Nifty made a quick high at 5909 and then traded sheepishly but below 5900 throughout the trading session. In the last hour of trade though the Nifty slid below 5850 and closed at 5833 with a loss of 49 points after making a day low of 5819.
1) The Elder Ray readings : Bull Power reduces from +64 to +58 Bear Power rises from +10 to -31 indicating that the Bears have now recovered and the Bulls are slipping out, but still in the reckoning. For today the Bulls need to overcome the levels of 5910 to maintain their upwards momentum whereas the Bears need to breach the Nifty below 5815 to maintain their downwards momentum.
2) The stochastics are still in the neutral zone and are pointing downwards.
3) The Nifty has closed below its 8EMA and 13EMA, but has closed above its 21EMA. The Nifty has also closed below its 200DMA, but above its 10DMA and 50DMA.
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