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Click Here to read the
follow-up report
Nifty
Daily Chart
Last one - one n
half month , Nifty is swinging between 5550 - 5200 range . If you
see the daily chart of Nifty , you can find five attempts to break
above 5550, including 2 attempts last week . Trying to break
above 5550 , Nifty has given up all the time and gained strength
again from 5200 levels twice.
Now lets come to the conclusion :-
If Nifty has to move above 5550-5600 resistance zone in short
term , it has to break that zone NOW , or else , if it fall below
5400 , it might not get the support at 5200 next time around , to
gain strength and break above 5550. If Nifty close below 5400 , the
next support we see is lying at 4800 level.
So lets make this technical alert understandable and clear to all
:-
We are expecting a very Sharp move on
Nifty (we don't know
yet, it would be on upside or down)
So here we are giving you the scenarios where you have to act
according to the trend , so that if any rally lying ahead , you
don't miss OR if any fall lying ahead , you don't lose
CURRENT NIFTY LEVEL - 5445
Between 5400 and 5550 - Its a
"No Trade Zone" ( Hold Your
Long/Short Positions , no fresh addition advised)
Above 5550 ,
if Nifty get a close above 5600 , Buy Aggressively ,
you may get another 600 - 700 points on Nifty . Above 5600 , you can
buy anything , even the sectors suffering from extreme negative
outlook may start performing . So above 5600 buy any XYZ stock , you
might get heavy return on them.
Below 5400
, You'll have to
act smart . We advise to exit all your Long Position once Nifty
close below 5400 , we don't expect a bounce from 5200 this time
around , so do not cover you position in hurry. Remember between
5400 and 5200 our purpose is to save our portfolio from erosion ,
not to earn profits . So in adverse scenario try to cover your
positions if Nifty bounce back above 5400 again .
Below 5200
, Go Short - if Nifty get a close below 5200 , you
might get another 400 - 500 points downside on Nifty , so one can
easily go short.
"We'll come out with a review on this view , once the expected move
happens to analyse the market further , in a simple and
understandable language"
Follow-up report issued for this Technical Alert
Click Here to read the
follow-up report
Technical Team - investCraft
Head of Research - Alok Kumar
(Technical Analysis)
alok@investcraft.in
Break
- Out
26 Mar 2011
...... follow-up
continuation of Technical Alert issued on 14 Mar 2011 by investCraft
As we mentioned in our last report
above, we were expecting a sharp move on Nifty and it has happened
on the upside.
Now stage is all set for another rally
till 6200 - 6250 and we declare this market as " Buy on Dips " .
First resistance on the way to 6000
levels is lying at 5740 - 5750 levels , where we might face another
round of skepticism about this rally , but we believe that , after a
mild hitch on 5750 levels , Nifty may continue its uptrend till last
high it made.
Investors should act smart and should
not expect a rally without corrections , so keep booking profits
from out performed scripts and switch to underperformed sectors as
this rally progresses.
Technical Team - investCraft
26 March 2011
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