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You must read previous articles and
watch above chart carefully to understand this article completely.
Today’s outlook: -
Nifty remains in the range as it has
slipped again from the resistance levels of 5730. Our market is opening after
one day of holiday and today it derivative expiry. US US
We are say that we are in 100 points
of range with higher end at 5730 and lower end at 5730. Practically, this range
is even smaller for trading as most of the time is fall from 5720 to 5660. We,
need to note that we have spend 13 trading sessions after hitting
5815 levels and it has spend 10 trading sessions in the zone. I can say that it
is turning out to be most frustrating zone. We may see some dull opening today,
may be near to 5660. Then, derivative expiry will play its role as I cannot
deny the possibility of some short covering.
Looking on global undertone, I am
sensing that it has test the patience but it has to break and direction will be
probably down. Technical indicators has slipped and indicating the fall. I need
to be honest to accept that fall is not coming in the expected way. One can
conclude that weakness of technical indicators has only able to push us in range
but not the direction yet. To a big extent, it is true till now.
From past five trading session, we
kept on hitting higher lows but trading bad is turning narrow. It is giving us
a hint that we might break this range anytime now. When will it break? Only
time can answer such questions. You can look on technical chart; I try to make possibilities
with RSI. If this weakness sustains and we fail to stand above 5730 then we
must see a move towards 5500 levels.
For today trading, keep an eye on
5670, beak of those will give us a move towards 5630 and then market will be
decisive. On higher side 5730 is the only stiff technical resistance.
Let us see if we get break of range
today. I can only say that 5630 has yet to play big role before any remarkable
fall.
Regards,
Praveen Kumar
