Half Hourly Chart
As anticipated the upper trendline of the rising wedge proved stiff resistance and the Nifty corrected by more than a 100 points intraday and closed down by 70 points. Fall was on higher than average volumes which is concerning. However breadth was surprisingly positive.Support of 4650 was violated intraday but closed above it.
Intraday and Daily oscillators show some more room for downside. Only the intraday stochastics has given a buy from oversold region. This may lead to a small bounce which could get sold into. Short term moving averages, 5,10 & 20 period, on half hourly charts are now bearishly aligned.
4582 should be good support. If this is broken we may see 4500. 4507 is the support on trendline joining lows of 3918 made on 13th July 2009 and 4353 made on 19th August 2009 . Other support levels are marked on the charts.
Happy Trading !!