Nifty, after a close below DLEma, failed to follow up and closed above DLEma and thus got back into the "Trading mode"...
FII's have started to buy again, after 3 days of selling- a consolidation within the major uptrend.
Prices, in the short term, have closed below the two key ST averages. (As long as prices close below these, technicals remain weak; only a close/sustaining above it would reverse the ST trend)
The ST direction is "biased DOWN", as long as prices stay below 7721 & close below these two key averages (21 or 34 hr smas).
The strategy that has worked consistently well with low risk-high reward ratio is "Initiating a trade at 50%-61.8% retrace with 80% as SL". Adapt to it.
Aggressively Holding below 7697(DEma), Conservatively Holding below 7715(34 Hr Sma), downtrend continues....
Aggressively Holding above 7657(DLEma), mild strength possible....
EW: In the ST, two scenarios seen:
Holding the retrace(7659) of last rise from 7636, new upmove unfolds, supported by OS day;
Holding below 7721, prices resume the downmove.