Medium Term Trend: ↑UP (Changes to down below 9725)
Nifty Exhibiting Strength: In yet another display of strength, Nifty posted 150+ gain today to close at 10470 levels.
In previous post we had mentioned "expect markets to remain strong as long as 10100 holds)/ Short covering is likely to continue in coming sessions as well which can push Nifty in 10450-10550 zone"
Current rally is mostly driven by short covering and now that we have moved conclusively above 10350 levels the short covering more or less seems to be done with. Going forward further upside will depend on how much actual/followup buying Nifty can attract from here. Nifty is now nearing its intermidiate target which is around 10500-550 levels so we can see some halt/pause at these levels ( but its not mandatory). Holding 10500-550 could even push Nifty towards 10800.
On the downside good support now exists in 10200-250 zone and weakness in Nifty is likely only once 10200-250 zone is taken out till then Nifty remains strong only.
Overall the pattern from the lows of 7500 is looking like one 'rising wedge' which seems to be in its last (E) leg. The pattern will be confirmed only once its last leg is retraced fully i.e Nifty drops below 9725 levels. Dropping below 9725 could have significant bearish implications but will discuss about it only when it happens/about to happen. For now its just a possibility which we should keep at the back of our mind.
To join our Nifty algo buy/sell whatsapp message service during market hours, pls click⤇ Nifty Buy/Sell Algorithm or whatsapp @ 9319321906
To see our recent trading calls for Nifty Algo- Pls click ⤇ Past Trade summary ( updated once existing position is closed)
Happy Trading
No comments:
Post a Comment