Om Sri Ganeshaya Namaha

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Thursday, January 24, 2013

Reigning The Bank Nifty 24th January 2013



Daily Chart
Half Hourly Chart

Bank Nifty made a doji signalling indecision still prevails.The long lower shadow shows bulls still active at lows.Support was taken exactly on the uptrendline from 9814 as can be seen on the daily chart.Close was above the 20 Ema.The  12572 peak support was broken  intraday but the close was managed above it.
Till the low of 12197 is held bulls will keep making comebacks.Stochastics has turned up from oversold levels indicating the upmove started from 12509 today could continue.Rsi14 too has given an uptick above the 50 level showing weakness has not taken over.

For tomorrow immediate resistance is at 12699 and support at 12559.The half hourly charts though show a lower high lower low formation.The green falling wedge if broken upwards can bring some relief to the bulls.Almost 40% was retraced  of  the fall from 12908 to 12509. The 50 and 61.8%  fibonacci retracement levels come at 12710-12755.

Bank Nifty is on the crossroads. One should be ready for whipsaws if one is ready  to venture a trade.Staying on the sidelines till more clarity is seen would be prudent.
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Happy Trading !!
   
Lakshmi Ramachandran
www.vipreetsafetrading.com

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