Thursday, December 1, 2011

Markets at decision point

A breakout above 4900 was the highlight of today’s price action.  This qualifies as a breakout from the crude trading range setup between 4700 and 4900. So far, price action has been bullish. A minor setback for bulls came in when the Nifty failed to hold the highs established in the morning, and, closed near the lows.

The Market has two courses of action. First, it can confirm the breakout by moving above 5000. This should give a target of 5150. Second, it can disown the breakout by moving below 4900, effectively returning back into the 4700 – 4900 range.

Therefore, the next few days could show bring about some kind of decision – trend or range.

4 comments:

Prashant said...

Sir,
The market seems to have moved back into the larger trading band of 4730-5160. This band has been in place since august; breached for some time last month.Largely, it remains a range-bound market. One can think of two bands now, 4700-4900, 4900-5160, i.e. above 4900, 5150 is possible, below 4900, 4700/4750 is probable.

ameet said...

Hiii sudarshan sir.i am ameet m naaik.i am very big fan of you and you are my teacher.i always follow your order and that result is now i got big profit from this market.Thanks sir.sudarshan sir my question is in octeber you say about NR7 pattern and what you said that become absoulty right and this big move happen at that time.sir now what this NR7 pattern say ?? i think this move are coming and what about your nifty target..?? still this 4000 remain constant..and if i open feb or march puts when nifty touch 5100-5150..is that vaid trade..???

ajinkya said...

HII..sir i am ajinkya..i am very big fan of you..i always follw your order and got big profit..sir now my question is..asir now market is 5050 nifty..but this is bear market up rally and ther target is 5150.as per your advice.so sir when nifty touch 5100-5150 shoud i open feb put..please give me advice.

Rushabh Shastri said...

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