Bulls riding the complacency wave have still some steam left. Newer highs possible.
As discussed yesterday, there were Expiry Jitters seen on the Nifty, but only in the penultimate hour of trading. The Nifty opened with a 15 point gap down at 6237 and never dropped meaningfully during the entire session and kept trading afloat in the range of 6235 to 6270 for most of the trading session. In the last hour of trade the Nifty dropped 25 points and then not only recovered but also scaled new heights and made a high of 6309 before closing at 6299 with a gain of 47 points.
1) The Elder Ray readings : Bull Power rises from +132 to +149 Bear Power also rises from +85 to +76 indicating that the Bulls are in full control of the Nifty and the Bears have their work cut out. For today, the Bulls need to overcome the levels of 6335 to maintain their upwards momentum whereas the Bears need to breach the levels of 6185 to regain their lost grounds.
2) The stochastics continue to remain in the overbought zone.
3) The Nifty continues to close 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 rise may continue. The MACD continues to point horizontal with the histogram moving above the zero line. The ADX is also suggesting a rising momentum for the Bulls. The Parabolic SAR continues with its Buy signal with the SL now moved up to 6084.
5) Considering the above, our trading plan for the day is as under.
a) Around 6255 we will open fresh long positions with a SL of 6225 and a target of 6340. We will add to these long positions only above 6370.
b) Around 6355 we will open fresh short positions with a SL of 6370 and a target of 6270. We will add to these short positions only below 6225.
Happy Trading !!!
Also visit Just Nifty and the Nifty Range blogs.
For cash market recommendations see our Daily Pre Market calls on NSE
As discussed yesterday, there were Expiry Jitters seen on the Nifty, but only in the penultimate hour of trading. The Nifty opened with a 15 point gap down at 6237 and never dropped meaningfully during the entire session and kept trading afloat in the range of 6235 to 6270 for most of the trading session. In the last hour of trade the Nifty dropped 25 points and then not only recovered but also scaled new heights and made a high of 6309 before closing at 6299 with a gain of 47 points.
1) The Elder Ray readings : Bull Power rises from +132 to +149 Bear Power also rises from +85 to +76 indicating that the Bulls are in full control of the Nifty and the Bears have their work cut out. For today, the Bulls need to overcome the levels of 6335 to maintain their upwards momentum whereas the Bears need to breach the levels of 6185 to regain their lost grounds.
2) The stochastics continue to remain in the overbought zone.
3) The Nifty continues to close 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 rise may continue. The MACD continues to point horizontal with the histogram moving above the zero line. The ADX is also suggesting a rising momentum for the Bulls. The Parabolic SAR continues with its Buy signal with the SL now moved up to 6084.
5) Considering the above, our trading plan for the day is as under.
a) Around 6255 we will open fresh long positions with a SL of 6225 and a target of 6340. We will add to these long positions only above 6370.
b) Around 6355 we will open fresh short positions with a SL of 6370 and a target of 6270. We will add to these short positions only below 6225.
Happy Trading !!!
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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