Nifty retains uptrend intact making yet another all time high & all time high close.
As discussed yesterday, the Nifty tested supports and bounced back, to scale newer highs and retain most of the gains. The Nifty opened with a positive gap up of 27 points at 6722 and then traded sluggishly for the first 3 hours of trade, managing a high of just 6734 and a low of 6705. But during the later half, the Nifty broke out and entered our identified resistance zone of 6745 6765 range. Then in the 2:30 Factor, the Nifty broke out from this range and gained another 40 points to make a high of 6809 before closing at 6796 with a gain of 101 points. We took a trade in the short direction and booked a loss of 25 points.
1) The Elder Ray readings : Bull Power rises from +77 to +139 Bear Power reduces from +2 to +36 indicating that the Bulls seem to want to start afresh as the Bears could not take advantage of being so near to their safe zone. For today, the Bulls need to overcome the levels of 6830 to maintain their upwards momentum whereas the Bears need to breach the levels of 6690 to regain their lost grounds. This wide range is a indication to oncoming volatility.
2) The stochastics are back into the overbought zone now.
3) The Nifty continues to close above all its key EMAs and also all its key DMAs.
4) In the above chart the volumes have increased with the rise in the Nifty indicating that the rise may continue further. The MACD again continues to float at the top, with the histogram being miniscule but positive. The ADX is suggesting a pickup in the Bullish momentum and a fall in the Bearish momentum. The Parabolic SAR has turned into a Buy signal within two days with the initial SL placed at 6650.
5) Considering the above, our trading plan for the day is as under.
a) Around 6740 we will open fresh long positions with a SL of 6720 and a target of 6840. We will add to these long positions only above 6865.
b) Around 6845 we will open fresh short positions with a SL of 6865 and a target of 6745. We will add to these short positions only below 6720.
Happy Trading !!!
Buy calls on ARSSINFRA MAHINDUGIN WELCORP & ASTRAMICRO hit their targets on 09 Apr 2014
Also visit Just Nifty and the Nifty Range blogs.
For cash market recommendations see our Daily Pre Market calls on NSE
As discussed yesterday, the Nifty tested supports and bounced back, to scale newer highs and retain most of the gains. The Nifty opened with a positive gap up of 27 points at 6722 and then traded sluggishly for the first 3 hours of trade, managing a high of just 6734 and a low of 6705. But during the later half, the Nifty broke out and entered our identified resistance zone of 6745 6765 range. Then in the 2:30 Factor, the Nifty broke out from this range and gained another 40 points to make a high of 6809 before closing at 6796 with a gain of 101 points. We took a trade in the short direction and booked a loss of 25 points.
1) The Elder Ray readings : Bull Power rises from +77 to +139 Bear Power reduces from +2 to +36 indicating that the Bulls seem to want to start afresh as the Bears could not take advantage of being so near to their safe zone. For today, the Bulls need to overcome the levels of 6830 to maintain their upwards momentum whereas the Bears need to breach the levels of 6690 to regain their lost grounds. This wide range is a indication to oncoming volatility.
2) The stochastics are back into the overbought zone now.
3) The Nifty continues to close above all its key EMAs and also all its key DMAs.
4) In the above chart the volumes have increased with the rise in the Nifty indicating that the rise may continue further. The MACD again continues to float at the top, with the histogram being miniscule but positive. The ADX is suggesting a pickup in the Bullish momentum and a fall in the Bearish momentum. The Parabolic SAR has turned into a Buy signal within two days with the initial SL placed at 6650.
5) Considering the above, our trading plan for the day is as under.
a) Around 6740 we will open fresh long positions with a SL of 6720 and a target of 6840. We will add to these long positions only above 6865.
b) Around 6845 we will open fresh short positions with a SL of 6865 and a target of 6745. We will add to these short positions only below 6720.
Happy Trading !!!
Buy calls on ARSSINFRA MAHINDUGIN WELCORP & ASTRAMICRO hit their targets on 09 Apr 2014
Also visit Just Nifty and the Nifty Range blogs.
For cash market recommendations see our Daily Pre Market calls on NSE
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