WEEKLY REVIEW

JAY SWAMINARAYAN

We said   “   Nifty will be traded with negative bias below 5660 and it would be decline towards 5570 – 5480. Other hand above 5660 Nifty will be traded with positive bias and it would be tries to test 5750 – 5840.   “   We suggested Strategy:   [1]  Open short below 5660 with stop loss 5750 for targets 5620 – 5570 – 5530 - 5480.   [2]  Open long above 5660 with stop loss 5570 for targets  5710 – 5750 – 5800 – 5840.

Nifty opened negative and traded expected. In first half Nifty registered high of 5721.55 near our 1^st upside target than turned back and declined below 5660 on Friday. Nifty registered low of 5641.75 in second half. Nifty lost 19 points ( - 0.35 % ) and closed in red.

                            For This Week

We expect same for this week also, Nifty will be traded with negative bias below 5660 and it would be decline towards 5570 – 5480. Other hand above 5660 Nifty will be traded with positive bias and it would be tries to test 5750 – 5840.  Nifty have 1^st Sup. at 5620 – 5570 & 2^nd Sup. at 5530 – 5480 and Nifty find 1^st Res. at 5710 – 5750 & 2^nd Res. At 5800 – 5840.

We expect after 2-3 days Nifty will be starting to decline sharp towards 5570-5480.

Be cautious and trade carefully because of the RBI Monetary policy review on Tuesday. Hence we expect volatility to remain in the market.

Strategy:

[1]  Open short below 5660 with stop loss 5750 for targets 5620 – 5570 – 5530 - 5480. 

            

              

[2]  Open long above 5660 with stop loss 5570 for targets  5710 – 5750 – 5800 – 5840.

NIFTY :: OP = 5667.60 , HI = 5721.55 , LO = 5641.75 , CL = 5664.30.