Nifty - 25 Apr 2014 - Bulls maintain their advantage

At the start of a fresh series, Bulls hold sway after closing nifty at yet another high.

As discussed on Wednesday, we saw "Expiry Jitters" on the Nifty with the Nifty making the intraday high and the intraday low within the first 4 minutes of trade and keeping traders guessing for the outcome till day end. The Nifty opened with a 8 point positive gap up at 6823 and made that quick high of 6862 at the blink of an eye and also that low of 6821 within the next 2 minutes of trading. The Nifty then dragged itself within these two levels for the entire trading session before closing at 6841 with high volumes identifiable to the series expiry. We could not trade as the Nifty kept whipsawing itself.

1) The Elder Ray readings : Bull Power rises from +98 to +108 Bear Power remains stagnant at +67 indicating that the Bulls still hold the advantage to themselves. For today, the Bulls need to overcome the levels of 6875 to maintain their upwards momentum whereas the Bears need to breach the levels of 6765 to regain their lost grounds.

2) The stochastics are well into the overbought zone now.

3) The Nifty continues to close above all its key EMAs and also above all its key DMAs.

Nifty - 23 Apr 2014 - Expiry Jitters

On expiry day, overbought Nifty stays bullish, appearing to aim at 6900 if not more.

As discussed yesterday, we saw "Bulls cling onto their advantage", and not let the Nifty slip below 6805 (our identified support zone) while swaying wildly within a confined range of just 32 points. The Nifty opened with a positive gap up of 5 points at 6823 and made a high of 6838 and a low of 6806 before closing at 6815, keeping the inclination towards the Bulls. We did not participate in the trade as none of our trading plans triggered.

1) The Elder Ray readings : Bull Power stagnates at +98 Bear Power reduces from +60 to +67 indicating that the Bulls have maintained their advantage and that the Bears have lost further grounds. For today the Bulls need to overcome the levels of 6850 to maintain their upwards momentum whereas the Bears need to breach the levels of 6755 to regain their lost grounds.

2) The stochastics are back into the overbought zone.

3) The Nifty continues to close above all its key EMAs and also above all its key DMAs.

Nifty - 22 Apr 2014 - Bulls cling on to advantage

Nifty consolidates intraday and closes highest ever staving away any Bearishness.

As discussed yesterday, we expected Volatility ahead, in yesterday's trading session. The Nifty opened at 6789 with a positive gap up of 10 points, and made a quick high of 6805 within the first few minutes of trade, and a low of 6786 within the next few minutes. The Nifty then consolidated with steep moves but between 6805 and 6785 for the most part of the rest of the session. However, as usual, the breakout came at 2:30 pm, and the Nifty breached the intraday highs to make a new all time high of 6825 before closing, also at a all time highest close at 6818. We did not participate in the trade yesterday.

1) The Elder Ray readings : Bull Power rises from +71 to +98 Bear Power reduces from -27 to +60 indicating that the Bears have again surrendered their territory within a couple of days. For today, the Bulls need to overcome the levels of 6845 to maintain their upwards momentum whereas the Bears need to breach the levels of 6735 to regain their lost grounds.

2) The Stochastics are approaching the overbought zone and are pointing upwards.

3) The Nifty continues to close above all its key EMAs and also above all its key DMAs.

NIfty - 21 Apr 2014 - Volatility ahead

Nifty holds 6650 and bounces back closing near highs. Volatile sessions ahead.

On Thursday, we were expecting "Downturn to continue" and maybe breach the 21EMA. However, the Nifty opened with a positive gap up of 20 points at 6695 and made a quick low of 6684 and recovered from thereon. The Nifty traded mostly in the zone of 6710 6735 for most of the trading session. In the late afternoon though the Nifty soared to new intraday highs and closed at 6779 after making a high of 6783. We booked a loss of 20 points in a trade taken on the short side.

1) The Elder Ray readings : Bull Power rises from +48 to +71 Bear Power reduces from -35 to -27 indicating that both the Bulls are the Bears are in equilibrium at this point of time. For today, the Bulls need to overcome the levels of 6795 to maintain their upwards momentum whereas the Bears need to breach the levels of 6690 to maintain their downwards momentum.

2) The stochastics are in the neutral zone and are pointing against each other.

3) The Nifty has again closed above all its key EMAs and also above all its key DMAs.