Thursday, August 21, 2014

Nifty, having averages finally caught up with prices, is set to make the next decisive move..

Nifty Intraday Update-III

Nifty Intraday Update-II

Nifty Intraday Update-I

Nifty Pre-Market View.

Nifty has paused around the 7900 for two days on the back of overbought hour technicals. That is resistances established in the short term.
Now, we need to look out for possible supports. Prices, though breached the 21 hr sma, managed to close above "it" on the back of "avergaing".
Another reliable support is around the 34 hr sma +/-5pts.
Another way of looking for support is whether DHEma less 20 or 30 points hold but this must get completed in the opening session and buying interest should return in the second half, failing which there will be a likely "Sell on rises" signal emerging.
On the other hand, if the 1st session makes highs near resistances or new high, there could be "roll over" pressure....
Once you start to see 3,4, (3), (4)'s, it is trading time..