Reigning The Nifty--8th April,2009

Nifty Half Hourly Chart

Nifty Fibonacci Chart

Nifty Monthly Chart

I had shown the RSI(6) on monthly charts on 28th February,2009 predicting a possible bottom in place. You can read it at the following link :
http://vipreetinvestments.blogspot.com/2009/02/bottom-near.html
Well I did get comments that I was predicting a bottom too soon. But now with 3240 scaled looks like the bottom prediction was right. The January 2008 down trendline resistance on the monthly chart is at 3555.

Trade long on dips. Look for weakness on break of 3198. 3122 looks like strong support--previous resistance and 23.6% retracement level. Recent uptrendline shown in red offers support for the day at 3095-3122 levels. So watch out for 3122 levels. Break could take it to 2960 which has also proved to be strong support.

Immediate resistance is at Fibonacci levels of 3450 which is the 50% retracement level of fall from 4650.

Happy Trading !!

Lakshmi Ramachandran
www.vipreetsafetrading.com