LAST DAY SNAP SHOT:-The market started trading range bound through out the day but closed with moderate gains today with banking being the biggest gainer. The Sensex closed at 17539 up 76 points from its previous close, and the Nifty closed at 5327 up 25 points. The CNX Midcap index was up 0.8% while the BSE Smallcap index gained 1.6%. The market breadth was positive with advances at 1055 against declines of 417 on the NSE.
CURRENT TECHNICAL SITUATION:-
As per Nifty daily and weekly charts it is in strong bullish mode.Bullish engulfing Candlestick pattern has formed by NIFTY today Prior to pattern formation this share was in uptrend.
Share has hit one month high on 05/07/2012As per RSI , S&P CNX NIFTY is in over bought territory with a value of 71.43
As per fast stochastic , S&P CNX NIFTY is in over bought range with a value of 97.82
As per slow stochastic , S&P CNX NIFTY is in over bought range with a value of 97.82
NIFTY is moving above 50, 100 and 200 days Simple Moving Average comfortably. On Daily Eod chart RSI and Slow stochastic indicator is showing overbought but yet not given any reversal signal.
FII bought Index future worth rs 124 cr and nifty open interest increased by 2.0% indicating fresh long has entered into the system.
Nifty 5300 put added highest 952,300 shares in open interest. 5300 put price has decreased by 7.90 rupees and open interest increased by 952300 shares, indicating that even 5300 put have been written comfortably for the next trading session. Nifty 5400 call standing with highest open interest at 6,774,750 shares on the call side with addition of 372,000 new shares along with price increasing with 4.30 rupees, indicating clearly that 5400 calls have buying interest. These option data are supporting for bull move.
Now lets consider Fibonacci level on charts.
5630-4770=860 points
4770--- 61.8% retracement level comes at 5302 which has comfortably
crossed by Nifty yesterday. Now 76% retracement level comes at
5422. All indicators and option and Fii data is indicating to touch this
level. I have posted in my previous post a nifty 2 year charts, If we
consider that chart we will find that Nifty has recovered almost 76%
of its every big fall wave. Currently there are different views on
nifty wave analysis at current level. Investors should cautious about
5422 level. Market may reverse from that level. If reversal does
not come at that level expect nifty 100% recovery in this month.
crossed by Nifty yesterday. Now 76% retracement level comes at
5422. All indicators and option and Fii data is indicating to touch this
level. I have posted in my previous post a nifty 2 year charts, If we
consider that chart we will find that Nifty has recovered almost 76%
of its every big fall wave. Currently there are different views on
nifty wave analysis at current level. Investors should cautious about
5422 level. Market may reverse from that level. If reversal does
not come at that level expect nifty 100% recovery in this month.
What are the signals which indicating reversal may happen from
5422 levels?
5422 levels?
1. On daily charts RSI and stochastic are overbought.
2. On weekly charts slow stochastic are in overbought.
3. Nifty will acheave 76% Fibonacci level.
4. One year weekly long term falling trend line is coming near 5422
level.
level.
These all are indicating 150-200 points reversal may come from 5422
level into the system.
level into the system.
Overall trend is bullish.
Enjoy trade and trade without being aggressive, you may reach 1 lot
to 32 lots of nifty in just 20
to 32 lots of nifty in just 20
months.
Good luck.
