NIFTY OUTLOOK (29th August, 2012)

NIFTY STOPPED SELLING TILL 61.8% RETRACEMENT LEVEL @5311

The NSE Nifty Spot closed at 5329 down by 0.40% with high selling pressure in opening, then covered some stocks from made bottom of 5313. This is first time 4 continuous red candles in one month which were happened due to profit booking or say correction too. Technical trend is positive but if we see the lower indicators, MACD (12.26.9) is showing fresh cutting down from the level of 45.59 where as Stochastic (5.3.3) is already bearish and stood at 19.12 which is below over sold zone. In the next trading session, nifty may recover from this level and face some bounce back with the support of 61.8% retracement level which is at 5311. If Nifty spot will open below 5311, traders may face more probable selling pressure till 5287. Upside resistance is as it was @ 5397 which is still acting as a major hurdle. On the other hand, Daily exponential moving averages (34.100.200) are still in positive trend. We hope, Nifty may see positive trend in medium term future.

Happy Trading !!

Megha Investments & Research Team

 

NIFTY OUTLOOK (28th August, 2012)

NIFTY BREACH THE CRUCIAL SUPPORT & CLOSED BELOW: UNCERTAIN FUTURE

The NSE Nifty spot closed at 5350 down by 0.70% with higher selling pressure in banking and financial sector. If we see the lower indicators such as MACD, It is taking support and moving at 50 which is nearer to neutral level, whereas Stochastic is showing sudden cutting downward trend for some days. This can lead to some buying pressure for few days. But as far as support and resistance is concerned, 5397 is acting as a major level  for confirm bullish and bearish trend for the medium term future. The positive thing is that, nifty spot is still trading above daily moving averages and DMAs are still having positive trend. In the next trading session, nifty may face selling pressure but intraday trades are advised to buy on deep in nifty future contract. 5283 is the next crucial support level for the nifty spot.

 

Happy trading !!

Megha Investments & Research Team

NIFTY OUTLOOK (27th August, 2012)

NIFTY SPOT AGAIN CLOSED BELOW TREND LINE LEVEL AT 5397: NIFTY DOING TIME PASS

The NSE Nifty spot closed at 5387 down by 0.50% on the weekend. Volume was normal, movement was fair, indicators were showing positive. In spite of that nifty spot closed below trendline level i.e. 5397 again. This seems, nifty spot is doing just time pass. Before few days, nifty crossed major trend line resistance with normal volume. It indicated about new uptrend. But now nifty is below that level, this is not the downtrend. So, medium term traders should beware from the uncertain volatility and they are recommended to be stay away for some time to save margins.

Happy Trading !!

Megha Investments & Research Team