19th march 2009...

dow(and s&p) are in a pullback in its downtrend, a previous post had warned about this showing a big and a small positive divergence on those charts, after that a reversal on nifty fut also took place and both the mkts started moving up. it was hoped that s&p might touch 805 which it nearly did and nifty also got resisted exactly on its falling resistance tline(chart given earlier). so although the momentum has picked up, the area 2800-2830-2858 is a high resistance zone therefore caution is advised for longs here. further action on US mkt may guide the nifty movement.