The Nifty failed to hold its head above 2800. This, inspite of support from international markets. We are in the process of moving one step forward, and then retracing that step to end up at the starting point.
The Nifty has significant resistance around 2800. It needs to cross this level to make an attempt towards 2950. For the past week, we have strong support from international markets. Now, this support will wane as these markets begin a correction / consolidation. With every passing day, the odds are getting stacked up against a thrust towards 2950.
A trading range market causes sudden mood changes - as prices move up from support, there is euphoria that this is it, and when prices retarct from resistance a sense of pessimism comes in. So we should view the market as a range. The range boundaries are about 2550 to 2800. Inside this range, the Nifty will have its little games, but a trending move is expected on a breakout.
I hope to add more notes, by the morning.
Cheers!
July 2 2010
4 weeks ago
Posts
3 comments:
So is shorting opportunity exists with a target of 2550,can we short the market with a stop loss above 2800.
YOUR ANALYSIS IS LIKE GUIDE BOOK AND THANK U FOR UR ANALYSIS ON MARKETS.
Dear Mr. Sukhani, Do you track PCR ? While markets are going up, the PCR is inching down. Usually I have seen the reverse. What does it imply ? Please plot a comparitive chart of NIFTY PCR and NIFTY and give your views.
the book disciplind trader is awesome .it is a must read for all traders.
Post a Comment