S&P CNX NIFTY is trending down for 5 days or in other words , the stock is daily closing at a lower price than previous days close and closed today below 200 day moving average and 61.8% retracement level. Any more closing below 200 and 61.8% level may create speed fall towards 5630. Industrial output growth crawls at 2% in April. Today's high and low will provide further short term direction. A gapup opening above today's high can be bullish but chances are very low. 275 stocks traded today below 50 day moving averages. 61 stocks in BSE 500 index touch 52-week low;Nifty and BSE 500 indices trading below 200 daily moving average. Nifty 5800 call added 2080350 fresh contracts today indicating huge call writing has happen today. Yesterday 5800 call added 1367900 contracts. Total 3448250 contracts added in open interest in last two days, indicating 5800 level will create big obstacle for bulls. Now lets see what happened in today's trade. FIIs sold first time in 4 digit figure in cash market in 2013. Nifty tried to cross 5790 level but failed again and again and closed below 200 level, indicating more pain is due in our market. Nifty weekly chart confirming rising wage pattern. Break below lower trend line of falling wage will create strong bearish momentum. Head and shoulder pattern attracting nifty towards 5600 level.
