Wednesday, January 12, 2011

Nifty Bank Nifty futures update 12 Jan

Nifty and Bank Nifty on hourly chart have given the short covering signals at 10900 and 5800 levels.

There has been multiple divergences on the charts with daily candle showing some support at the trendline combined with seesaw movement on intraday basis suggests that the bears can no longer control the market at these levels.

The fact that the market failed to break the previous lows on the bad news itself shows bullishness at the low levels.

Covered remaining shorts at the above levels. Right now the trading can be more range bound and will be volatile.

Should go long from here:
Well thats very much debatable. Going long is purely a risk at these levels.
Can buy some OTM calls as I feel the next resistance is at 5925 levels as mentioned in this post y'day.

2 comments:

  1. This will help to ignore the noise and help make a conviction decision.

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  2. Great timing for the Long call sir.. fantastic :)

    ReplyDelete