Nifty Near Crucial Support of 50 SMA

By | July 13, 2011 1:32 am

Nifty Hourly

Nifty Hourly is trading in a parallel channel as shown in above chart. We can see formation of lower highs and lower top.

Break of 5550 will take Nifty out of channel and break of 5496 will continue to drift lower and can see levels of 5436.

Hourly Indicators are oversold but that should not be taken as indication to buy as indicators can remain overbought and oversold in trending market.

Nifty Daily

On Daily Chart we are having 2 Gaps.

1. Formed today @5580-5610 which should be filled before any downmove. Bears can keep 5610 as SL for Longs.

2. Near 5330-50 this should get filled if 5496 breaks in coming days.

 

Importance of 5497 as its is 50% Retracement of rally from 5252 till 5740 Break of this will technically end the bull run for immediate short term.

 

Now this is an Interesting stuff Fight of Moving Averages

Break of 50 SMA@5496 can lead to further weakness and Bears will try to break this level.

Bulls will try to close above 100 SMA@5565 will give power to bulls.

Levels for Today

Buy above 5534 Tgt 5565,5580 and 5606

Sell below 5496 Tgt 5480,5451 and 5436

Category: Daily

About Bramesh

Bramesh Bhandari has been actively trading the Indian Stock Markets since over 15+ Years. His primary strategies are his interpretations and applications of Gann And Astro Methodologies developed over the past decade.

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