nifty supports and resistance lines...

a simple chart showing medium and intermediate term nifty support and resis lines.

historic manmohan(mon) day!!!...

the euphoria was such that mkt hit all three circuits collectively just within 60 seconds and trading closed for the day. as such volumeswise its almost nothing(3100 cr cash & f&o), no one could buy or sell.

another euphoric 10% or 15% and we would be staring at 4800! which is the 61.8% retracement of entire bear mkt 6357-2253, also the 22-23 times nifty shares eps comes to around 4630-4840 etc.

just 1-2 days ago one was wondering if 3800 was too much, most humbly one cannot argue or predict the mkt correctly at all times the best way if to follow the trend and book profits regularly following discipline.

now i think we should start looking at the valuations, its definitely buy on dips mkt but these lvls are scary for an investor to enter. 3150-3250 is the base now for sometime i guess since it was a brkout zone from a long consolidation.

i guess mainly only the fiis were participants in this rally from 2600 lvls pouring in lot of cash, diis usually were sellers and retailers were completely left out of this fantastic run.

i hope readers of my blog may have benefitted to a great extent in catching a large part of this 2600 lvl onward rally.

18th may 2009...

congestion zone brkout: if it trades above 3717 then a fresh brkout occurs with tgt 3717+183=3900 with some resis near 3800-3820.

various fibo ret lvls above that are also shown on the nifty chart above.

mkt will be enthused by the election results and may give a large opening gap up.

looks like the nifty would go off the roof on jubilant mood and buying. 10% up circuit is 4037 and 15% is at 4223.

and the winner is...

ppl's mandate in favor of UPA for second term for a progressive stable govt.

singh is king again, jai ho!!!

:)