Weekly Review

JAY SWAMINARAYAN

We said last week   “   Nifty will be traded with negative bias below 5570 and it would be decline towards 5480 – 5390. Other hand above 5570 Nifty will be traded with positive bias and it would be tries to touch 5660 – 5750.  Nifty have 1^st Sup. at 5530 – 5480 & 2^nd Sup. at 5440 – 5390 and Nifty find 1^st Res. at 5600 – 5660 & 2^nd Res. At 5690 – 5750.   “

Nifty opened negative and traded expected. In first half Nifty declined sharp and registered low of 5477.20 and achieved our 1^st down side target. Nifty took support at 5480 and tried to recovered losses and registered high of 5610.65 but not succeed to sustained above 5570 in second half, so Nifty turned back below 5500 from higher level on last day. Nifty lost 24 points (- 0.44 %) and closed in red.

                                    For This Week

We expect same, Nifty will be traded with negative bias below 5570 and it would be decline towards 5480 – 5390. Other hand above 5570 Nifty will be traded with positive bias and it would be tries to touch 5660 – 5750.  Nifty have 1^st Sup. at 5480 – 5440 & 2^nd Sup. at 5390 – 5350 and Nifty find 1^st Res. at 5570 – 5600 & 2^nd Res. At 5660 – 5690.

This is the small & truncated week with holiday on Friday hence we expect volatility to remain in the market. So be cautious and trade carefully.

Strategy:

[1]  Open short below 5530 with stop loss 5600 for targets 5480 – 5440 – 5390 - 5350. 

           

               

[2]  Open long above 5530 with stop loss 5440 for targets  5570 – 5600 – 5660 – 5690.

NIFTY :: OP = 5550.50 , HI = 5610.65 , LO = 5477.20 , CL = 5528.55.