Thursday, February 18, 2016

Bulls getting ready . . . ? ? ?

Hi All,

As expected, after bouncing back from the said support of 6950-6960 and surpassing 7020 on the way up, Nifty zoomed in to the positive territory giving a total bounce of almost 150+ points.

As mentioned earlier, the bias for markets was positive for yesterday and is likely to continue for today as well, SGX Nifty is already up by almost 50 points (Pre Market up by ~70 points), however an hourly close above 7150 and then surpassing the crucial levels of 7175-7220 will be crucial for any further upside.

On the lower side supports can be found near 7030-6985-6950-6910-6850 levels.

On the India Vix front, the daily chart RSI of volatility has taken a resistance near 60 mark, which is a bullish sign going forward, and breaking 20-20.5% mark could mean a further cooling off of the volatility for some time at least.

So, in a nutshell, the markets will trade with an in principle positive bias, and I will update the levels after the first hour of trade if required. However it is advisable to wait and watch for first 15-20 minutes before taking any trade for the day.


Cheers

No comments: