Medium Term Trend: ☝UP (Changes to Down below 13550)
Nifty @ 14137 down 10 points : Fatigue creeping in?
Inspite all of these 'Weak Technicals', Nifty so far has not shown any weakness whatsoever and continues to post higher highs on the daily charts. Now we have 11 consecutive higher high which is beyond normal and probably indicates that markets are in a different zone altogether and is just not willing to go down (yet). but we all know things can change suddenly in markets.
Having said this we still have to maintain a cautious stance as markets are trading in the overbought zone and can correct anytime. Best way to trade in such scenario is to keep booking regular profits and trail your long positions with trailing stop losses (atleast that's what we have been doing).
Now moving forward, we see support around 14100-14075 levels (slightly below todays low) and if Nifty trades below this level for some extended time tomorrow then we can see some more weakness towards 13900-14K levels hence it would be advisable to exit long positions once if weakness persists below this levels tomorrow.
On the upside, Nifty now has some resistance around 14250-300 levels and market needs to make a strong push above this level and if that happens then Nifty can move further towards 14650-700 levels.
In Nutshell, maintain cautious stance for now and trade light. If 14100-14075 zone breaks tomorrow and sustains then exit is recommended once. Continuous upmove and a cross above 14250-14300 on the other hand could mean Nifty is heading towards 14700 levels. Trade accordingly.
Happy Trading
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 till 23rd Dec).
No comments:
Post a Comment