After hitting a 23 month high yesterday, Nifty today gave away all its gains in the initial trading hours, however, recovered most of it while closing.
After two consecutive gap up openings as expected a small profit booking took Nifty down by 0.5% from the days open, however most of the losses were recovered by the end of the day.
Though nor very significant, Nifty daily chart witnesses a Red Candle after 4 bullish sessions.....
However, with lack of a bearish indications what so ever (on daily / hourly charts) it's also not advisable to initiate short trade, however 6050-6100 will act as resistance going forward.
I continue to have the same bias that due to unfavorable Risk Reward it would not be advisable to add on Bullish positions in the index at this point of time, instead, stock specific activities would be advisable
One can be bullish on GDL for Short Term
Bullions -
As posted earlier, with the upward breakouts of the consolidating areas Silver and Gold can be traded with a positive bias (not now as no favorable Risk Reward), buy on dips can be a proper strategy with supports below the recent price bottoms on daily charts (Gold Mini Feb 30350-300 and Silver Micro Feb - 57250-200)
Crude oil Jan - 5100 will be a resistance on a closing basis, being over sold bulls can think of booking profits and trailing stop losses accordingly, a crucial near to short term support (Closing basis) can be below 5030-5000
Currencies -
JPY - Downward journey continues, however smaller price actions may be termed as some kind of relief in near to short term
EUR - Broken down below the basing area and achieved its first target near 71.55-50, next support 71.10-70.70-70.20
USD - Not over sold exactly, but a strong negative Candle stick pattern suggest some bearishness with a strong support near 54.20-54.00 levels
GBP - Currently closed in the support area near 88.30 breaking which can head downwards till 88.00-87.10 levels in short term
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