I have already suggested very stronly to wait for the break of 5185 to short from lower side. It has saved and we have seen bounce. Close above 5274-5278 is very encouraging. Have a look on the chart given above. There is a strong possibility of breakout of supply line. Levels for breakout will be 5307 to 5311.
I must add that if Nifty start sustaining above 5307-5311 then you can expect a rise towards 5338 and then 5359.
You must keep these three figures in your mind after breakout.
5338 - 50 days moving average.
5359 - 38.20% of retracement from top.
5379 - Previous reversal point.
As of 17 April'12 closing at 5290, I am finding strong support at 5270.
I am also concluding that my previous given support of 5185 has worked very well and turnout as end point of wave 'C', which is excatly at 5183.50.
Charts are so far so good but I am not a very firm believer of this kind of breakout. I am expecting for 1-2 days of bounce before fall. I have already initiated long on index with conservative targets.
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Thanks & Regards,
Praveen Kumar
