Om Sri Ganeshaya Namaha

Om  Sri  Ganeshaya  Namaha
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Monday, May 2, 2011

Reigning the Bank Nifty 2nd May, 2011



Monthly Chart




Monthly charts show a rising wedge on falling volumes.The fall from 13304 after strong negative divergences may be over as shown by the stochastics which has givena buy .If the support of 10890 holds for the month , a pullback to 13726is possible to form the next leg of the wedge.


 Weekly Chart




Daily Chart





The expanding triangle continues to expand with a higher high and lower low.As mentioned in my earlier posts, the megaphone pattern has  completed the third peak and in all possibility this leg down should break through the support line which now stands at  11391.OBV, Stochastics, Rsi14 and Macd on daily charts have broken the low made on 19th April keeping in line with the Bank nifty.

Support  taken on the green trendline shown on daily charts from which it broke out  in March. Till this does not break down we may consider it as a retest of the trendline and expect further rise once the retest is over.Support on this trendline is at 11409. 50 dema is at 11380. This area of 11380-11391-11409  is strong support.



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Happy Trading !!
Lakshmi Ramachandran
www.vipreetsafetrading.com

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