Update - 9th August 2019 12.30 PM
Nifty near 200 DMA resistance of 11160-70, book another part and trail stop loss below 11000....
Cheers
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Update - 8th August 2019 3.15 PM
Book partial profits at 11030-11050 for the longs initiated near 10900 and lower and trail stop loss at cost...
Cheers
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Hi All,
Thanks to the warning issued by Spinning Top on 2nd August, bulls are now trying to snatch the control with a Bullish Hammer yesterday, at the supports near 10730-10800 (bottoms on daily charts and 61.8% retracement of the earlier rally), one can expect at least a small relief rally after a fall of more than 5 to 6% in last couple of weeks which also made the index very oversold with RSI being near 23). However, a Green hammer would have been better for a double confirmation for the upmove
Remember, as of now, this is nowhere a trend change, but a small counter trend pull back, the trend change would depend on the quantum of this upmove going forward.
Key supports would now be - 10810-10770-10730-10700
Key resistances - 10970-11030-11080-11110-11150.
Though, Nifty has been trading strongly since morning and has also surpassed yesterday's high of 10900, a litmus test for bulls would be to cross the downward gap resistance zone of 10970-11080. if Nifty surpass these levels, on hourly charts it would form a higher top higher bottom which in itself would be a short term bullish indication....
At the current price of 10930, it does not offer the requisite risk reward ratio as per the first resistance, so its advisable to buy on dips and trade with proper money management and keep stop losses below the supports mentioned, the reversal for this pull back would be below the low of Hammer....
Cheers !
Nifty near 200 DMA resistance of 11160-70, book another part and trail stop loss below 11000....
Cheers
--------------------------------------------------------------------------------------------------
Update - 8th August 2019 3.15 PM
Book partial profits at 11030-11050 for the longs initiated near 10900 and lower and trail stop loss at cost...
Cheers
--------------------------------------------------------------------------------------------------
Hi All,
Thanks to the warning issued by Spinning Top on 2nd August, bulls are now trying to snatch the control with a Bullish Hammer yesterday, at the supports near 10730-10800 (bottoms on daily charts and 61.8% retracement of the earlier rally), one can expect at least a small relief rally after a fall of more than 5 to 6% in last couple of weeks which also made the index very oversold with RSI being near 23). However, a Green hammer would have been better for a double confirmation for the upmove
Remember, as of now, this is nowhere a trend change, but a small counter trend pull back, the trend change would depend on the quantum of this upmove going forward.
Key supports would now be - 10810-10770-10730-10700
Key resistances - 10970-11030-11080-11110-11150.
Though, Nifty has been trading strongly since morning and has also surpassed yesterday's high of 10900, a litmus test for bulls would be to cross the downward gap resistance zone of 10970-11080. if Nifty surpass these levels, on hourly charts it would form a higher top higher bottom which in itself would be a short term bullish indication....
At the current price of 10930, it does not offer the requisite risk reward ratio as per the first resistance, so its advisable to buy on dips and trade with proper money management and keep stop losses below the supports mentioned, the reversal for this pull back would be below the low of Hammer....
Cheers !
