Wednesday, March 9, 2016

It's a Doji.....

Hi All,

On daily charts Nifty has created a Doji pattern (sign of acute indecision) after the Hanging man pattern on Friday.

Which now means, that owing to the confusion created by these patterns, Nifty will have crucial levels at 7440-30 on the lower side and 7520-30 on the higher side. A sustainable move beyond these levels will decide the future course of the price action.

We booked another small profit yesterday in the short trade and Nifty bounced back sharply from thereof to close almost flat near 7485, hence giving us a Doji Pattern on daily charts.

After taking profitable trades on 2 consecutive day, we will wait and watch today for the price action to gain a momentum, SGX Nifty is down by 25 points which means it will open near 7450-60 odd levels.

Levels to watch out for today are –

Supports – 7440-30-7415-7395-7340
Resistances – 7520-30-7580-7610-7650-7680


Cheers

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