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).
4) In the above chart, the volumes are reduced with the rise in the Nifty indicating that the rise may get arrested. The MACD continues to point upwards with the histogram rising in the positive. The ADX is also suggesting a rise in the Bullish momentum. The Parabolic SAR continues with its Buy signal with the SL now shifted up to 5938.
5) Considering the above, our trading plan for the day is as under.
a) Around 6125 we will open fresh long positions with a SL of 6105 and a target of 6180. We will add to these long positions only above 6205.
b) Around 6185 we will open fresh short positions with a SL of 6205 and a target of 6135. We will add to these short positions only below 6105.
Happy Trading !!!
Buy calls on ESSDEE TATAELXSI SELAN PAPERPROD & TUBEINVEST hit their targets on 19 Feb 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 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).
4) In the above chart, the volumes are reduced with the rise in the Nifty indicating that the rise may get arrested. The MACD continues to point upwards with the histogram rising in the positive. The ADX is also suggesting a rise in the Bullish momentum. The Parabolic SAR continues with its Buy signal with the SL now shifted up to 5938.
5) Considering the above, our trading plan for the day is as under.
a) Around 6125 we will open fresh long positions with a SL of 6105 and a target of 6180. We will add to these long positions only above 6205.
b) Around 6185 we will open fresh short positions with a SL of 6205 and a target of 6135. We will add to these short positions only below 6105.
Happy Trading !!!
Buy calls on ESSDEE TATAELXSI SELAN PAPERPROD & TUBEINVEST hit their targets on 19 Feb 2014
Also visit Just Nifty and the Nifty Range blogs.
For cash market recommendations see our Daily Pre Market calls on NSE
Trading plan(a) likely to trigger at the opening mark itself.
ReplyDeleteWill wait for the first few minutes before taking this trade.
Looks like a drop coming in.
ReplyDeleteWaiting for 6105 to be breached on the downside.
6105 not breaching and 6125 not being taken out.
ReplyDeleteNo trading zone playing out till now.