Monday, July 14, 2014

Nifty nears 50dsma after 5 days of fall...

Nifty Intraday Update-III

Nifty Intraday Update-II

Nifty Intraday Update-I

Nifty PreMarket View.

FII's have started to sell after 9 days of buying- a consolidation within the major uptrend.
Prices, however in the short term, have closed below two key ST averages. (As long as prices close below these, technicals remain weak; only a close above it would reverse the ST trend)
The ST direction is "biased Down"(but oversold & attempting a bounce), as long as prices stay below 7522-33 & 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 7536(3-Hr Low), Conservatively Holding below 7570(DEma), downtrend continues....
Aggressively Holding above 7425(WLEma), Conservatively Holding above 7385-95(MHEma/50DSma), minor rally likely....