Om Sri Ganeshaya Namaha

Om  Sri  Ganeshaya  Namaha
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Thursday, July 1, 2010

Reigning The Nifty - Monthly Update July , 2010


 Monthly Chart





Monthly Chart II
  • Rising wedge formation of the entire rally from March 2009 which is bearish.
  • The entire rise since May 2009 has been on falling volumes.
  • The target of the rising wedge is 2356.
  • Nifty has closed below the wedge for the second month consecutively. 
  • Oscillators have been in negative divergence since some time and continue to show weakness.
  • The Nifty has been in a range of  around 850 points since September 2009. Break below this range at 4538 will give an immediate target of  3676.
Monthly charts are not too robust since some time as oscillators have been showing falling momentum.  July will give a clearer picture of the effects of the rising wedge.

June was a positive month on rising volumes and ended close to the upper part of the range. The candle was also a higher high higher low raising hopes of more strength. Maintaining above 5295 will give strength to attempt 5400-5550.

Targets of the rising wedge given here may take a long time to be achieved as short term action will be guided by shorter term charts.


Happy Trading !!
Lakshmi Ramachandran
www.vipreetsafetrading.com

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