Reigning The Nifty - 21st May , 2010

Daily Chart

Nifty made an Inside day pattern which shows indecision.  Today's candle shows weak bulls as yesterday's bearish candle stands tall and bearish in the background. The long upper shadow shows inability to maintain highs.Reaction came in at 4980, exactly at the 23.6 %  retracement level of fall from 5212 to 4908.

The 200 dema support still holds raising hopes of a pullback.The Rsi 14 on daily charts has shown positive divergence.The half hourly oscillators are moving up with positive divergence intact.

Strong support at  4898-4858-4844.

Resistance at 4980-5025-5065.


Happy Trading !!
Lakshmi Ramachandran
www.vipreetsafetrading.com