The pullback, till now, seems to be a classic retest of the breakout from the falling wedge.Volumes were low but breadth extremely negative. Break of support from the wedge at 5390 could invite the bears to dominate the Nifty once again.Bulls also need to fill the gap made today between 5538-5490 to get the upward momentum going once again.Today's candle shows support at the 5400 levels which is encouraging.
The 50 dema continues to remain snugly under the 200 dema. Bulls have to work hard to see that the 50 dema does not get too cosy under the 200 dema.
Half Hourly Chart
The double top - double bottom puzzle continues to tease . Till either one of them is confirmed there will be uncertainity. Attempts to move up could not even reach the day's open , which was also the high for the day.This keeps the bears more confident than the bulls.
Trade light till the double top or double bottom is confirmed.
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