Hi All,
Exactly as expected Nifty opened
with an upward gap of around 50 points and gave away all those gains in few
minutes of opening. A further sell off in Nifty even achieved our second target
for the fall near 6900.
However, as a ray of hope for
bulls, hourly charts started to look a bit bullish after consecutive 3 bullish
candles with a lot of buying pressure, also, if Nifty closes near the current
levels of 7000+, on daily charts we will get a Hammer Pattern (A close near
7630 levels will give us a Dragonfly Doji Pattern, a even more stronger) which
can be a bullish confirmation, but only and only above 7030-7040 levels
(Markets can even come down again if the resistance works).
It may not be advisable to go
short now and even it is better to cover any short positions as on daily charts
though not yet confirmed, but there is a sigh of relief at least for now.
It would be too early to call it a short
term bottom, but confirmation of the hammer on Monday, as said earlier can mean
a lot for the bulls
In a nutshell, Nifty of
surpasses 7030-7040 mark today and crosses today’s high on Monday, we can
expect a small bounce to start off with.
No comments:
Post a Comment