Weekly Review

JAY SWAMINARAYAN

We said last week   “   Nifty will be traded with negative bias below 5480 and it would be decline towards 5390 – 5300. Other hand above 5480 Nifty will be traded with positive bias and it would be tries to touch 5570 – 5660.   “   We suggested Strategy:   [1]  Open short below 5480 with stop loss 5570 for targets 5440 – 5390 – 5350 - 5300.   [2]  Open long above 5480 with stop loss 5390 for targets  5510 – 5570 – 5600 – 5660.

Nifty opened positive and traded expected. In first half Nifty achieved our 1^st upside target than turned back towards our shorting level and declined sharp towards 5300. Nifty registered low of 5318.90 and achieved our both down side targets. After that Nifty tried to recover the losses and in this process Nifty turned up towards our buying level and gave smart rally towards 5660. Nifty achieved our both upside targets and registered high of 5688.60 in second half. Nifty gained massive 208 points (+ 3.81 %) and closed in green.

                            For This Week

We expect, 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 touch 5750 – 5840.  Nifty have 1^st Sup. at 5620 – 5570 & 2^nd Sup. at 5530 – 5480 and Nifty find 1^st Res. at 5690 – 5750 & 2^nd Res. At 5780 – 5840.

This is the small & truncated week with holiday on Monday. Hence we expect volatility to remain in the market, so be cautious and trade carefully.

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  5690 – 5750 – 5780 – 5840.

NIFTY :: OP = 5480.25 , HI = 5688.60 , LO = 5318.90 , CL = 5680.40.