Nifty remains strong making newer highs and higher closes. Momentum with Bulls.
As discussed yesterday, the Bulls maintained their hold on the Nifty, as the markets shrugged of the announcement of the monetary policy by the RBI, which turned out to be a non-event. The Nifty opened with a positive gap up of 25 points at 6730, but could make a intraday high of only 6732. The Nifty then saw profit booking and the Nifty slid below the 6700 level to make a intraday low of 6675 (higher than the previous day's low) and then spurted back to close at 6721 with a gain of 17 points. None of our trading plans got triggered and we sat out watching the gyrations of the Nifty.
1) The Elder Ray readings : Bull Power reduces from +161 to +141 Bear Power rises from +93 to +85 indicating that the Bulls are finding it hard to keep the Nifty floating higher now. For today, the Bulls need to overcome the levels of 6755 whereas the Bears need to breach the levels of 6610 to regain their lost grounds.
2) The stochastics continue to remain in the overbought zone stubbornly.
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 meet resistance at higher levels. The MACD continues to remain near the top with the histogram remaining near but above the zero line. The ADX is suggesting a loss of momentum for the Bulls. The Parabolic SAR continues with its Buy signal with the SL now raised to 6639.
5) Considering the above our trading plan for the day is as under.
a) Around 6665 we will open fresh long positions with a SL of 6645 and a target of 6740. We will add to these long positions only above 6765.
b) Around 6745 we will open fresh short positions with a SL of 6765 and a target of 6670. We will add to these short positions only below 6645.
Happy Trading !!!
Buy calls on CCL HONDAPOWER KALPATPOWR & SKSMICRO hit their targets on 01 Apr 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 maintained their hold on the Nifty, as the markets shrugged of the announcement of the monetary policy by the RBI, which turned out to be a non-event. The Nifty opened with a positive gap up of 25 points at 6730, but could make a intraday high of only 6732. The Nifty then saw profit booking and the Nifty slid below the 6700 level to make a intraday low of 6675 (higher than the previous day's low) and then spurted back to close at 6721 with a gain of 17 points. None of our trading plans got triggered and we sat out watching the gyrations of the Nifty.
1) The Elder Ray readings : Bull Power reduces from +161 to +141 Bear Power rises from +93 to +85 indicating that the Bulls are finding it hard to keep the Nifty floating higher now. For today, the Bulls need to overcome the levels of 6755 whereas the Bears need to breach the levels of 6610 to regain their lost grounds.
2) The stochastics continue to remain in the overbought zone stubbornly.
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 meet resistance at higher levels. The MACD continues to remain near the top with the histogram remaining near but above the zero line. The ADX is suggesting a loss of momentum for the Bulls. The Parabolic SAR continues with its Buy signal with the SL now raised to 6639.
5) Considering the above our trading plan for the day is as under.
a) Around 6665 we will open fresh long positions with a SL of 6645 and a target of 6740. We will add to these long positions only above 6765.
b) Around 6745 we will open fresh short positions with a SL of 6765 and a target of 6670. We will add to these short positions only below 6645.
Happy Trading !!!
Buy calls on CCL HONDAPOWER KALPATPOWR & SKSMICRO hit their targets on 01 Apr 2014
Also visit Just Nifty and the Nifty Range blogs.
For cash market recommendations see our Daily Pre Market calls on NSE
Trading plan(b) has triggered and have opened fresh short positions for intraday at 6750 with SL of 6770.
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