NIFTY RANGEBOUND—STOCK MARKET DIRECTIONLESS
The stock market appears to halt at a tri-junction with no
absolute clue about where to move. CNX
IT, however did manage to bounce back for two days but it is clearly looking
like more of an bounce back when intraday indicators were slightly
oversold and the index kind of manage to hold on for couple of days. It recorded about 100 to 150 pointy kind of a
bounce back. The chart analysis indicates
some crucial movement from here. The nifty
future might see a upward swing after a sharp correction.
Notwithstanding the fact, this kind of a decline was not
expected. For Infosys, 2150 is an
important weekly closing pivot that could be a good target for it. In fact, that is something which Intradaytrading software looks for making a pretty sure intraday trade in
the stock.
The technical analysis of the nifty states that
it might actually be slightly more sideways between the range of about
5600-5640 on upside and to about 5500 on the downside until something out of
blue falls.
The bank nifty after a good correction seems to the
pretty well adjusted and buying are also seen happening in the high beta stocks
like reliance capital, reliance infra and that too in the last hour of the intraday
trading session which show that market though in range bound but will try to
break out before expiry.
The CNX IT right now exactly is at its 200 day average so may
be Infosys will fall more but you might see some kind of stabilization coming
in from the other component of the CNX IT.
Therefore, nifty has good
reason to maintain the range to be as broad as about 5500 to 5490 in the
downside and about 5600 on the upside before eventually heading towards 5420
that is kind of trading strategy one should have in nifty future
and nifty options.
Visit Us : www.technotrades.biz
Contact Us : +91-9958406102
Comments
Post a Comment