Om Sri Ganeshaya Namaha

Om  Sri  Ganeshaya  Namaha
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Thursday, July 8, 2010

Reigning The Nifty 8th July , 2010

 Daily Chart

The whipsaw continues within the flag. The red trendline from January 2008 highs proved resistance once again today.The Nifty seems to be forming support around the 5225-5233 area shown in thick red line. Technically today's candle formed  an Inside Day pattern.The range though was the same as yesterday minus just a point from the top and 2 points from the bottom, showing no conviction from the bulls or bears to take decisive action.However the fact that the volumes were substantially higher than yesterday , points towards more selling pressure than buying pressure.

The 5  and 10  demas continue in sell mode. The 20 dema  has provided good support once again.The daily Macd continues in sell mode.

The range of 5210-5367 is still unbroken. Unless there is a breakout from these levels whipsaws will continue.

Supports are at 5225-5206-5182  and  Resistance at 5291-5350.

Happy Trading !!
Lakshmi Ramachandran

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