Nifty attempts a bearish evening star, but stays neutral groping for further direction.
As discussed yesterday, the volumes were lacking in the up move during past few trading sessions. This we considered as a lack of conviction amongst the Bulls. The Nifty opened with a negative gap down of 26 points and then traded within a confined range of 25 points between 6129 and 6105 for most of the trading session, never sustaining above 6125 for long. In the last hour of trade though, the Nifty breached the supports of 6105 and slid down to 6087 before closing at 6091.
1) The Elder Ray readings : Bull Power reduces from +69 to +38 Bear Power rises from +35 to -5 indicating that both the Bulls and the Bears are in their respective zones. For today, the Bulls need to overcome the levels of 6130 to maintain their upwards momentum whereas the Bears need to breach the levels of 6085 to maintain their downwards momentum.
2) The stochastics are pointing towards coming down from the overbought zone.
3) The Nifty has closed at its 8EMA and 13EMA but is below its 21EMA. The Nifty is below its 50DMA and 100DMA but is above its 200DMA.
Nifty continues to move up, as supports keep rising. But volumes are lacking.
As discussed yesterday, the Bulls had got an upper hand, on the Nifty. The Nifty opened with a mild positive gap up opening of 5 points at 6132 and for the entire trading session, the Nifty traded in a very very narrow range of 6130 and 6140. The Nifty made a low of 6126 in the first hour of trade and that was defended by the Bulls for the entire trading session. In the last 20 minutes of trade, we saw the Nifty break out above 6145 and reach 6160 before closing at 6153 with a nett gain of 26 points.
1) The Elder Ray readings : Bull Power rises from +61 to +69 Bear Power reduces from -14 to +35 indicating that the Bulls are now in control of the Nifty. For today, the Bulls need to overcome the levels of 6175 to maintain their upwards momentum whereas the Bears need to breach the levels of 6100 to regain their lost grounds.
2) The stochastics are now fully in the overbought zone.
3) The Nifty has now closed above all its key EMAs and also above its 200DMA and 100DMA. However, it is still below its 50DMA(6185).
Bulls cross intermediate resistance levels but need to capitalize and keep moving up.
As discussed yesterday, the Nifty which was running into resistances, crossed the down gap levels at 6110 within the first hour of trade and stayed above that for the entire trading session. On the other hand, the Bulls could not sustain much above those resistance levels and the Nifty after making a high of 6142 saw some profit booking and closed at 6127 with a gain of 54 points. We took a trade on the short side and booked a loss of 20 points on that trade.
1) The Elder Ray readings : Bull Power rises from +7 to +61 Bear Power reduces from -35 to -14 indicating that the Bulls now have a upper hand but the Bears are not far behind. For today, the Bulls need to overcome the levels of 6150 to maintain their upwards momentum whereas the Bears need to breach the levels of 6065 to maintain their downwards momentum.
2) The fast stochastics have already reached the overbought zone, but the slow stochastics are lagging behind indicating more room for an up move.
3) The Nifty has now closed above all its key EMAs and also above its 200DMA. It has however, closed below its 50DMA and 100DMA.
Nifty, having found support at 200DMA, is attempting a recovery. Resistances ahead.
As discussed yesterday, the Nifty had found support at 200DMA, and the Nifty opened with a mild positive gap up of 9 points at 6057. The Nifty then consolidated for almost the entire trading session in the range of 6045 6065 zone, making only one dip below 6040 to 6038, and then in the last 40 minutes of trade attempting a break out, making a high of 6081 before closing at 6073.
1) The Elder Ray readings : Bull Power rises from -17 to +7 Bear Power reduces from -89 to -35 indicating that both the Bulls and the Bears are in their respective territories as of now. For today, the Bulls need to overcome the levels of 6085 to maintain their upwards momentum whereas the Bears need to breach the Nifty below 6035 to maintain their downwards momentum.
2) The stochastics remain in the neutral zone.
3) The Nifty has closed below its 21EMA, at its 13EMA and above its 8EMA. It has also closed below its 50DMA and 100DMA, but above its 200DMA.
200DMA comes to the support of the falling Nifty. Bears in control despite recovery.
As discussed on Friday, the Nifty resumed its down move, as the Nifty after having a positive gap up of 23 points at the opening mark of 6024, traded bearishly for most of the trading session. The Nifty made two dips below the 6000 mark during the day, making a low of 5985. The late evening recovery saw the Nifty soar by more than 70 points to register a day high of 6056 before closing at 6048 with a nett gain of 47 points.
1) The Elder Ray readings : Bull Power reduces from +17 to -17 Bear Power rises from -86 to -89 indicating that the Bears are still holding their grip on the Nifty. For today the Bulls need to overcome the levels of 6070 to regain their lost grounds whereas the Bears need to breach the levels of 5990 maintain their downwards momentum.
2) The stochastics are in the neutral zone and are creeping up.
3) The Nifty continues to close below all its key EMAs and also below its 50DMA and 100DMA. The 200DMA has now stagnated for 3 trading sessions at 5981.
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