Om Sri Ganeshaya Namaha

Om  Sri  Ganeshaya  Namaha
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Monday, December 13, 2010

Reigning The Nifty - 13th December, 2010




 Weekly Chart






The weekly charts show Nifty did a flip flop after giving hope to the bulls last week.The uptrendline from 4786 though, was broken again and increases the chances of  a test of lower levels.The 5wema has bearishly crossed below the 10 wema.Oscillators Rsi 14 is weak below 50 level and Macd continues in sell.

The flop though,  kept above the uptrendline from the March 2009 lows and was on low volumes  keeping some hope of a resumption of the uptrend alive. Stochastics has given a buy and moved above the 20 level.This shows possibilities of some upmove.Trade above 5810 would ensure a resumption of the uptrend.




Daily Chart




Daily Line charts show the fall forming a falling wedge which is bullish. The breakout point from the wedge  is at 5915. If the lower high at 6070 is taken out then the implications of the falling wedge will take effect and give higher targets . Until then we go with the bear flag shown in earlier posts.

The green trendline joins the bottoms made around the 5937 area before the fall from 6338, which has proved resistance on rallies twice making peaks on a  closing basis at 6010. Watch the action at resistances on a closing basis at 5915-6010-6070 before taking bullish positions.

Supports are at 5690-5570-5562-5385. Resistance is at  5868-5927-5960-6030-6070.

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Happy Trading !!
Lakshmi Ramachandran
www.vipreetsafetrading.com

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