Reigning The Nifty - 22nd October, 2009

 First sign of weakness confirmed by break and close below 5077. Next level to look out for is the 4921 level. Nifty has taken support exactly at the 50% retracement level of rise from 4921. The 61.8% level is at 5020. If this is broken then a test of 4921 is almost a certainty. Support on green trendline joining recent lows from September 4th is at 5035 to 5050 .  The intraday oscillators are extremely oversold so the possibility of finding short term support at any of these levels is strong.Check out the Half hourly chart for these levels.

Half Hourly Chart

Daily charts show supports at 5064 and 4963.The oscillators are still above their midlevels indicating there are chances of more selling till they reach the oversold zone if the mentioned  supports fail to hold.

Daily Chart

Happy Trading !!

Lakshmi Ramachandran
www.vipreetsafetrading.com