Weekly Review

JAY SWAMINARAYAN

We said last week   “   Nifty will be traded with negative bias below 6290 and it would be decline towards 6200 – 6110. Other hand above 6290 Nifty will be traded with positive bias and it would be tries to touch 6380 – 6470.   “   We suggested Strategy:   [1]  Open short below 6290 with stop loss 6380 for targets 6250 – 6200 – 6160 - 6110.   [2]  Open long above 6290 with stop loss 6200 for targets  6340 – 6380 – 6430 – 6470.

Nifty opened negative and traded expected. In first half Nifty registered high of 6304.75 then turned back and declined sharp towards 6110. Nifty registered low of 6120.95 and achieved our both down side targets in second half.  Nifty lost massive 176 points ( - 2.80 %) and closed in red. 

                                              For This Week

We expect now, Nifty will be traded with negative bias below 6200 and it would be decline towards 6110 – 6020. Other hand above 6200 Nifty will be traded with positive bias and it would be tries to touch 6290 – 6380.  Nifty have 1^st Sup. at 6110 – 6050 & 2^nd Sup. at 6020 – 5960 and Nifty find 1^st Res. at 6160 – 6200 & 2^nd Res. At 6250 – 6290.

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 6140 with stop loss 6230 for targets 6110 – 6050 – 6020 - 5960. 

            

                                     

[2]  Open long above 6140 with stop loss 6050 for targets  6160 – 6200 – 6250 – 6290.

NIFTY :: OP = 6282.15 , HI = 6304.75 , LO = 6120.95 , CL = 6140.75.