Daily Nifty

Nifty Daily Chart

The Nifty has decisively broken out of the falling channel that it was trading in since 16th February, 2009. The target for this is 2795 which coincides with the resistance offered by the lower trendline of the triangle from which the nifty broke down on 2nd March. 2806 has been stiff resistance since 18th February. 2800 is the 61.8% retracement of fall from 2970. This makes the 2800-2806 level extremely important to surpass for further upside. So we will have to watch the 2806 levels very keenly. Once this is taken out , resistance will be met at 2840 and after this acheiving 2970 will be a cakewalk.

Supports are at 2605-2575-2539-2503 all marked on the chart.
Fibonacci retracement levels of the rise till friday from 2539 are at 2682-2655-2633-2611.

Stop loss levels can be raised to 2600 levels on longs. Corrections can be used as buying oppurtunities as of now as there is a mildly bullish bias.

Happy Trading !!

Lakshmi Ramachandran
www.vipreetsafetrading.com