Nifty leaps big and then retreats. Bullish stance maintained. End of week crucial.
As discussed yesterday, Nifty had staged a "Pullback for a big leap", as the Nifty after closing 6161 on Wednesday, opened with a huge positive gap up of 101 points at 6262. However, the Nifty made a quick high of 6301 in the first 15 minutes of trade and then started to come off its highs. The Nifty made a intraday low of 6232 in the last hour of trade before closing at 6241, well off the highs, but with a whopping gain of 80 points, over the previous closing. We initiated a trade on the long side and booked a loss of 30 points as our SL got hit.
1) The Elder Ray readings : Bull Power rises from +73 to +150 Bear Power reduces from +14 to +81 indicating that the Bulls have now gained a considerable hold over the Nifty. For today, the Bulls need to overcome the levels of 6320 to maintain their upwards momentum whereas the Bears need to breach the levels of 6165 to regain their lost grounds.
2) The stochastics are still hovering on the border of the overbought zone.
3) The Nifty continues to close above all its key EMAs and also above all its key DMAs.
As discussed yesterday, Nifty had staged a "Pullback for a big leap", as the Nifty after closing 6161 on Wednesday, opened with a huge positive gap up of 101 points at 6262. However, the Nifty made a quick high of 6301 in the first 15 minutes of trade and then started to come off its highs. The Nifty made a intraday low of 6232 in the last hour of trade before closing at 6241, well off the highs, but with a whopping gain of 80 points, over the previous closing. We initiated a trade on the long side and booked a loss of 30 points as our SL got hit.
1) The Elder Ray readings : Bull Power rises from +73 to +150 Bear Power reduces from +14 to +81 indicating that the Bulls have now gained a considerable hold over the Nifty. For today, the Bulls need to overcome the levels of 6320 to maintain their upwards momentum whereas the Bears need to breach the levels of 6165 to regain their lost grounds.
2) The stochastics are still hovering on the border of the overbought zone.
3) The Nifty continues to close above all its key EMAs and also above all its key DMAs.