May 12, 2011
- Nifty has not broken out of the trading range yet. If the lower end of the range gives support we may get an up move.
- Breaking the low point may take nifty below 5400 level.
- Nifty is testing the support are in the middle of the broad trading range.
- Break of this level can take nifty to the lower end of the range.
- Getting support here can give an up move
- SLV Trading near the all important weekly trend line.
- Price May give a bounce from this trend line. If a bounce happens, I feel it will be a small one. Seeing the Momentum of this fall the weekly trend line is not going to save the Bulls.
- We may see 28 - 29 levels soon on SLV.
- SLV INTRADAY POST
- Reliance capital has given a short entry. Staying below 518 will favor short traders.
- Reliance capital is forming a triangle shaped consolidation in 15 Minutes chart.
- Break of support or resistance lines can give good direction.
- Daily chart looks oversold so an upper breakout will be an easy long to take.
- Tata steel Day is in a consolidation pattern and should give good direction soon.
- Daily charts are showing oversold indicator readings so a long trade is possible from the current levels with small stop loss.
- But the pattern looks similar to a Descending triangle which is bearish. So it is better to wait for the break to happen and then take the trade.
- Moving averages are getting ready for the death cross which is a bearish event. But going by the recent trend the Death crosses have given good rally for the bulls. So we have to wait and see what this one does. One thing is sure with 200 and 50 dma converging we should see volatility increasing.
- US DOLLAR INDEX ANALYSIS
All the contents of niftychartsandpatterns are for educational purposes only and are not Investment Advice or recommendations offered to any person(s) with respect to the purchase or sale of the stocks / futures. Niftychartsandpatterns shall not be held responsible for the actions of individuals, parties, or corporations taken in response to the ideas, thoughts, concepts or information presented in this blog. Hence all the visitors are requested to apply their prudence and consult their financial or investment adviser before acting on any of the Ideas in this blog.