31-12-08

This is for education purpose only and may not be useful for trading

Buy signal holds...Stoploss 2812.

Most probably buy signal will fail.

Mkts to continue trading within channel (EOD charts).

30-12-08

This is for education purpose only and may not be useful for trading

Buy signal generated as markets close above 2970. Stoploss 2812.

Most probably buy signal will fail.

Mkts to continue trading within channel (EOD charts).

29-12-08

This is for education purpose only and may not be useful for trading

Trailing stoploss for short positions remains 2970.
Buy signal will be generated if markets close above 2970 tomorrow.
Watch RSI trendline on EOD charts for support.
Contrarian view: as nifty is trading within channel, a pullback is possible.
Also, nifty is nearing oversold levels on hourly charts (RSI). The region at2800-2850 will provide strong support.

26-12-08

This is for education purpose only and may not be useful for trading

Trailing stoploss for short positions brought down to 2980. Earlier this was 3120 and then 3020.
Next week, watch for break of 2900 for further confirmation of weakness. This will be an important support and crucial trend decider. Watch RSI trendline on EOD charts for support.
Contrarian view: as nifty is trading within channel, a pullback is possible.
Also, nifty is nearing oversold levels on hourly charts (RSI). The region at 2800-2850 will provide strong support.

24-12-08

This is for education purpose only and may not be useful for trading

Trailing stoploss for short positions brought down to 3020 vs 3120 (yesterday).

On weekly charts, sell will be generated if markets close below 2920 this week.This will be an important support and crucial trend decider.

Watch RSI trendline on EOD charts for support.

23-12-08

This is for education purpose only and may not be useful for trading

Sell signal generated on daily charts as markets close below 3028. Trailing stoploss for short positions will be 3120.
On weekly charts, sell will be generated if markets close below 2920 this week.
Weekly low at 2920 to be an important support and crucial trend decider.
Watch RSI trendline on EOD charts for support.

22-12-08

This is for education purpose only and may not be useful for trading

Markets close near Fridays lows. Sell signal will be generated if markets close tomorrow below today's low 3028 spot).
The ending diagonal still persists though in a very frustrating manner.
Weekly low at 2920 to be an important support and crucial trend decider.
Watch RSI trendline on EOD charts for support.

19-12-08

This is for education purpose only and may not be useful for trading

Trend remains up. We also have weekly closing in positive.
On Sensex, markets closed above 10000 and tested this as a support.
This becomes stoploss for long positions (3040 on nifty).
Monthly charts remain in sell mode through out this year. Buy signal will be generated if markets close above 4237 this month.

18-12-08

This is for education purpose only and may not be useful for trading



2950 holds on closing basis and markets rally. Stoploss remains same.
Mkts have full retraced previous days losses and made a marginal new high.
So as of now bulls are not giving up (bears not strongly active...maybe
waiting for 3240).
Volatility is substantial. Stay out for some time as positional trades can get whipsawed.

17-12-08

This is for education purpose only and may not be useful for trading

Bearish engulfing bar - inability to hold above 2950 will imply weakness in markets.

We also have a possible C wave failure (ending diagonal) in hourly charts....this did trap many people on the short side where the 5th wave crossed the 1-3 line.

Let us see how things pan out.

16-12-08

This is for education purpose only and may not be useful for trading

Uptrend intact with support at 2950. Trend reversal if markets break/ close below 2950.
Deep support at 2860.
One can also look at channel on EOD chart for resistance/ supports. Note that this channel is bearish as the rally has taken longer time than the most recent rally and gains have been smaller than the most recent rally.
20 D swing has given a buy. Most probably this will fail as has been the case with all buy
calls on nifty this year (given by this indicator)..
Weekly charts have also given a buy with SL at 2760 and 2500 (2 W swing).

15-12-08

This is for education purpose only and may not be useful for trading


Gap up and then flat closing. Doji formed on futures chart. Uptrend intact with support at 2950. Trend reversal if markets break/ close below 2950. Deep support at 2860.

One can also look at channel on EOD chart for resistance/ supports. Note that this channel is bearish as the rally has taken longer time than the most recent rally and gains have been smaller than the most recent rally.

20 D swing has given a buy. Most probably this will fail as has been the case with all buy
calls on nifty this year (given by this indicator)..

Weekly charts have also given a buy with SL at 2760 and 2500 (2 W swing).

12-12-08

This is for education purpose only and may not be useful for trading

SL 2860 gets whipsawed on open. The market movements would have confused bulls and bearsalike given the gap down opening and strong closing.

From a time cycle analysis, the uptrend is now 14 days old. Gains have not been much considering the fact that the first buy was generated around 2800 levels.

Trading channel has been drawn for nifty...the current leg (C) will continue within thistill some reversal happens.

On hourly charts, markets will be at upper end of channel trendlines.So watch for possible turning/ reversal here.

Breakouts: Reliance, Relcapital and SBI ...all doing well.

11-12-08

This is for education purpose only and may not be useful for trading

Despite chopiness in markets, 2860 spot holds (SL for long positions).

On hourly charts, markets will reattempt to test upper end of channel trendlines. So watch for possible turning/ reversal here.

Note that there is no signal to short. An indication will be break of 2880 fut (2860 spot)....this can also be considered as SL for long positions.

Breakouts: Reliance, Relcapital. SBI might be next.

10-12-08

This is for education purpose only and may not be useful for trading

Good closing above 2800.... On hourly charts, markets are exactly at upper end of channel trendlines.

So watch for possible turning/ reversal here.

So chances are high that markets will correct to 2500-2550. Most probably,this shd be last leg of the correction.

Note that there is no signal to short. An indication will be break of 2880 fut (2860 spot)....this can also be considered as SL for long positions.

On 5 minute charts, there is a "roughish" rising wedge (bearish implications).

08-12-2008

This is for education purpose only and may not be useful for trading


Despite strong opening, markets are still unable to hold above 2800.....this was mentioned due to the RSI resistance on 15 min/ hourly charts.

Also mentioned that the 2 day swing has also given a buy...and that "this may not be reliable"....so far it is still holding but high chances of a whipsaw.

Also, level given on Friday for Monday i.e. 2670-80 was not crossed today.

Now chances are high that markets will correct to 2500-2550. Most probably, this shd be last leg of the correction.

05-12-2008

This is for education purpose only and may not be useful for trading

Markets unable to hold above 2800.....this was mentioned as a possibility yesterday
due to the RSI resistance on 15 min/ hourly charts.

Also mentioned that the 2 day swing has also given a buy...and that "this may not be reliable"....so far it is still holding but high chances of a whipsaw.

Intraday charts (5 min) show supports at 2670-80...watch this level on Monday. Any decisive break will invite a lot selling to at least 2500 levels.

On the upside, markets will remain rangebound till we cross 2850-70.