Nifty having shed weak bulls & maintains bullishness, gets ready for a decisive leap.
As discussed on Friday, the Nifty shed weak bulls, on Thursday, and on Friday, despite the gap down opening amidst weakening global cues, the Nifty maintained its Bullish poise and closed with a 19 point gain at 6260. During the day, the Nifty tested the supports of 6225 making a intraday low of 6231. The Nifty, in the last hour of trade, made a high of 6275. We took a trade on the long side and could book out with a profit of 35 points by EOD.
1) The Elder Ray readings : Bull Power reduces from +150 to +109 Bear Power rises from +81 to +64 indicating that the Bulls have given up some grounds but the Bears have not been able to capitalize on it. For today, the Bulls need to overcome the levels of 6295 to maintain their upwards momentum whereas the Bears need to breach the levels of 6180 to regain their lost grounds.
2) The stochastics are in the overbought zone and are now emphasizing the bullish straits.
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 decreased with the rise in the Nifty indicating that the up move may face hurdles. The MACD continues to point upwards with the histogram continuing to grow in the positive. The ADX is suggesting a fall in the momentum for the Bulls but it is still favoring the Bulls. The Parabolic SAR continues with its Buy signal with the SL now moved up to 6027.
5) Considering the above, our trading plan for the day is as under.
a) Around 6245 we will open fresh long positions with a SL of 6225 and a target of 6295. We will add to these long positions only above 6325.
b) Below 6300 we will open fresh short positions with a SL of 6325 and a target of 6250. 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 on Friday, the Nifty shed weak bulls, on Thursday, and on Friday, despite the gap down opening amidst weakening global cues, the Nifty maintained its Bullish poise and closed with a 19 point gain at 6260. During the day, the Nifty tested the supports of 6225 making a intraday low of 6231. The Nifty, in the last hour of trade, made a high of 6275. We took a trade on the long side and could book out with a profit of 35 points by EOD.
1) The Elder Ray readings : Bull Power reduces from +150 to +109 Bear Power rises from +81 to +64 indicating that the Bulls have given up some grounds but the Bears have not been able to capitalize on it. For today, the Bulls need to overcome the levels of 6295 to maintain their upwards momentum whereas the Bears need to breach the levels of 6180 to regain their lost grounds.
2) The stochastics are in the overbought zone and are now emphasizing the bullish straits.
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 decreased with the rise in the Nifty indicating that the up move may face hurdles. The MACD continues to point upwards with the histogram continuing to grow in the positive. The ADX is suggesting a fall in the momentum for the Bulls but it is still favoring the Bulls. The Parabolic SAR continues with its Buy signal with the SL now moved up to 6027.
5) Considering the above, our trading plan for the day is as under.
a) Around 6245 we will open fresh long positions with a SL of 6225 and a target of 6295. We will add to these long positions only above 6325.
b) Below 6300 we will open fresh short positions with a SL of 6325 and a target of 6250. 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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