Wednesday, July 16, 2014

Nifty has staged a 200+ point rally from 50dsma, the MT bull average...

Nifty Intraday Update-III

Nifty Intraday Update-II

Nifty Intraday Update-I

Nifty PreMarket View.

FII's have been selling, but in small qty, after 9 days of buying- a consolidation within the major uptrend.
Prices, in the short term, have closed above one of the two key ST averages. (As long as prices close above these, technicals remain strong; only a close/sustaining below it would reverse the ST trend)
The ST direction is "biased UP"(attempted bounce gathering mild strength), as long as prices stay above 7482-93 & close above 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 above 7518(WEma), Conservatively Holding above 7482(DLEma), rally continues....
Aggressively Holding below 7487(21HrSma), Conservatively Holding below 7472(2-Hr Low), downtrend continues....