Sunday, February 26, 2012

Nifty moving down...add more longs. Rally soon.


Last week Nifty gave up some of its gains and closed 132 points lower.  Nothing much has changed on the charts though and the overall trend remains up. I still maintain my view that any downward movement must only be used to add long positions.
This week Nifty has support at - 5420/5370/5350. I expect a bounce from close to 5370, if 5420 is breached, chances of which seem low!
On the upside this week, expect nifty to show levels of - 5460/5480/5630. The first brakes shall be applied around 5610-5630 zone. Once this is decisively cleared Nifty will quickly rally to show 5720/5750.

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