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Wednesday, October 21, 2009

Reigning The Nifty - 21st October, 2009




Daily Chart





Half Hourly Chart







Today was a new high and a lower low on the Nifty on low volumes. Reversal ?  The sensex made a lower high and lower low on low volumes. The uptrendline from March lows is now at 5045. So long as this is not violated the trend is up. 

The intraday oscillators are all weak after giving negative divergences,  and stochastics has reached oversold levels .The 5,10 & 20 emas are bearishly aligned. A falling wedge seen once again. Holding 5077 will keep the trend undamaged.

The daily oscillators too are moving lower after negative divergences.Macd is in a sell since 6th October.

The trend continues to be up but caution on longs is very necessary. A relevant level to watch would be 4904-4950 levels which has held well during last few corrections.

Happy Trading !!

Lakshmi Ramachandran
www.vipreetsafetrading.com

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