Daily Chart II
Half Hourly Chart
"Rising wedge along with negative divergence on half hourly charts makes one cautious. Breadth continues to be a concern to the continuation of the up move. Multiple resistances around the 5300 mark".
Paying heed to caution and maintaining stops certainly paid off. The Nifty made a Big bearish candle wiping out the gains of the last two days and just managed to close above the low of 5177 of the candle of last thursday . It also broke down from the rising wedge.The rising wedge was of the height of 437 points. Target comes to 4784. The daily stochastics is moving down after giving a negative divergence.
Retraced 50 % of rise from 5101 to 5270. Supports are at 5101-5000-4833-4675. Refer daily chart II.
Maintaining above the down trendline from Jan 2008 highs could see the Nifty reach higher highs.
Happy Trading !!