AS WAS PREDICTED DURING THE WEEKLY ANALYSIS OF LAST WEEK, NIFTY DISPLAYED BULLISHNESS RIGHT FROM THE START OF THE WEEK ON MONDAY 15TH APRIL AND REMAINED BULLISH FOR THE ENTIRE WEEK. WITH THE DAILY PARSAR FORMED AFTER THE LOW MADE ON 10TH APRIL AT 5477 SPOT, THIS SWING LOW OF 5477 MAY CONTINUE TO REMAIN THE SWING LOW FOR THE NEXT LEG OF THE UP MOVE. NIFTY HAVING RISEN TO NOT ONLY TO BREACH BOTH THE 200 DAY SMA & EMA AT THEIR JUNCTION POINT AROUND 5665 SPOT BUT ALSO HAVING CLOSED AT 5783 WHICH IS MUCH ABOVE BOTH THE CRITICAL 200 DAY SMA & 200 DAY EMA SUGGESTS BUILT UP OF FURTHER STRENGTH DURING THE COMING DAYS, PERHAPS IT MAY BE AFTER THE MOST LIKELY OPERATOR DRIVEN PULL DOWN TO WEED OUT WEAKER BULLS.
DURING LAST WEEK, NIFTY SPOT ALSO BREACHED AND CLOSED ABOVE BOTH THE 50 DAY SMA AT 5767 & & 50 DAY EMA AT 5740. NOW THESE CRITICAL DMAS & EMAS WILL PROVIDE INTRADAY OR CLOSING SUPPORT TO SPOT NIFTY ALTHOUGH OPERATORS & MARKET MANIPULATORS WILL TRY THEIR LEVEL BEST TO PULL THE MARKETS DOWN AT THE SLIGHTEST AMOUNT OF WELL ORCHESTRATED ADVERSE NEWS, TO WEED OUT
WEAKER HANDS. EVEN THE DELICATE & DECEPTIVE NECK LINE AROUND 5757 SPOT AS CAN BE SEEN IN THE 2 HOURLY CHART OF SPOT NIFTY ABOVE MAY BE PUNCTURED TO INDUCE A FEELING THAT THE UP MOVE OF LAST WEEK TO BREACH & CLOSE ABOVE THIS NECK LINE WAS JUST A FLUKE & WAS PART OF THE CORRECTIVE UP MOVE. HOWEVER A DECISIVE DOWNWARD BREACH OF THE NECK LINE AROUND 5757 TO 5750 SPOT ZONE & FOLLOWED BY BREACH OF BOTH THE 50 DAY SMA & 50 DAY EMA ON A CLOSING BASIS WILL DEFINITELY WEAKEN THE BULLS WHO MAY EVEN FEAR THE SLIDE TO RETEST & BREACH THE JUNCTION OF 200 DAY SMA & EMA AROUND 5665 SPOT DURING THE TRUNCATED EXPIRY WEEK OR DURING THE EARLY PART OF THE DEVASTATING MONTH OF MAY.
ALTHOUGH THE MARKETS MAY SHOW A MILDER PULL DOWN AFTER THE BIG RISE OF 4 DAYS LAST WEEK, YET TECHNICALLY IT LOOKS EXTREMELY BULLISH FOR FURTHER UP MOVE TO CONTEST THE SPOT NIFTY’S RESISTANCE LINE COMING FROM 29TH JANUARY HIGH OF 6112 & TOUCHING THE 11TH MARCH HIGH OF 5971. NIFTY SPOT WILL MEET THIS RESISTANCE LINE AROUND 5848 ABOVE WHICH NIFTY SPOT MEETS CRITICAL FIBO 61.8% RETRACEMENT LEVEL AROUND 5869 COUNTED FROM THE 29TH JANUARY HIGH OF 6112 TILL THE RECENT 10TH APRIL LOW OF 5477. SO, ALTHOUGH TECHNICALS POINT TOWARDS NEW HIGHS, YET IT MAY NOT BE A CAKE WALK FOR THE BULLS AS THESE TWO CRITICAL LEVELS AROUND 5848 FOLLOWED BY 5869 NEEDS SUMO POWERED BULLS TO BREACH AND CLOSE ABOVE THESE LEVELS TO MAKE IT EASY FOR THEM TO STRAIGHT EYE FOR THE MOST CRITICAL LEVEL OF 5979 ON THE REAL NECK LINE THAT WOULD CONFIRM THAT THE PRESENT UP MOVE IS THE RESUMPTION OF THE NEXT LEG OF THE BULL RUN TOWARDS NEW LIFE TIME HIGHS.
TECHNICAL INDICATORS POINT TOWARDS FURTHER UP MOVE WITH DAILY RSI HAVING ALREADY BREACHED ITS RESISTANCE LINE & HAVING CLOSED ABOVE THE CRITICAL 50% MARK. DAILY SLOW STOCH AS WELL AS THE DAILY MACD DO NOT LAG FAR BEHIND THE EXTRA BULLISH INDICATIONS OF DAILY RSI. THESE BULLISH TECHNICAL INDICATORS ALONG WITH BREACH OF BOTH THE SETS OF CRITICAL 34, 50 & 200 DAY SMA AS WELL AS THE EMA DURING THE LAST TRUNCATED WEEK, DEFINITELY STRENGTHEN THE BULLS WHO AT LEAST TRUST ONLY THE TECHNICALS WITHOUT BOTHERING AT ALL FOR THE MOST IMPORTANT PARAMETER OF OPERATORS PLAY. THE DRAGON BOTTOM FORMED WITH THE 10TH APRIL LOWS OF 5477 & 12TH APRIL LOWS OF 5494 ALONG WITH THE DAILY PARSAR FORMING A NECKLACE AROUND THESE LOWS SUGGEST BRIGHTER DAYS EVEN DURING THE DEVASTATING MONTH OF MAY 2013. THE SUPPORTS & RESISTANCE TO ACT AS DANCING STEPS FOR THE BULLS & THE BEARS DURING THE COMING DAYS HAVE BEEN INDICATED IN THE CHART ABOVE. BREACH OF EACH OF THESE LEVELS SHOULD TAKE NIFTY SPOT TO THE NEXT LEVEL INDICATED IN THE CHART.
AS OF NOW THE MARKETS DEFINITELY LOOK EXTREMELY BULLISH FOR FURTHER UP MOVE & NIFTY SPOT HAVING CLOSED THE WEEK ABOVE ALL THE CRITICAL WEEKLY 20, 34 & 50 EMAS IN THE FORM OF A MONSTER GREEN CANDLE OF 294 POINTS JUST 20 POINT SHORT OF THE EARLIER WEEKLY MONSTER CANDLE OF WEEK ENDING 8TH JUNE 2012. THAT AUSPICIOUS MONSTER GREEN CANDLE OF JUNE 2012 HAD THE ROCKET FUEL IN IT TO SEE SPOT NIFTY RISE FROM THE SWING LOW OF 4770 IN JUNE 2012 TO THE SWING HIGH OF 6112 IN JANUARY 2013. WELL, TIME ONLY WILL SAY TO WHICH LEVEL THE PRESENT MONSTER WEEKLY CANDLE WILL TAKE NIFTY, BUT GOING ONLY BY THE TECHNICALS ALONE, THINGS DEFINITELY LOOK ROSY FOR THE BULLS, QUIETLY SUGGESTING THE BEARS TO LOOK FOR AN ESCAPE ROUTE & COVER THEIR SHORTS IF & ONLY IF ALL THEIR COORDINATED ATTEMPTS FAIL TO PREVENT NIFTY SPOT FROM BREACHING & CLOSING ABOVE THE 5848 TO 5870 ZONE. TECHNICAL ANALYSTS MAY HAVE A CLOSER LOOK AT THE CRITICAL WEEKLY INDICATORS OF RSI, MACD & SLOW STOCHASTIC ALONG WITH THE WEEKLY CANDLE & THE WEEKLY EMAS TO QUIETLY DECIDE FOR THEMSELVES AS TO WHERE NIFTY IS HEADING DURING THE COMING WEEKS.
DURING LAST WEEK, NIFTY SPOT ALSO BREACHED AND CLOSED ABOVE BOTH THE 50 DAY SMA AT 5767 & & 50 DAY EMA AT 5740. NOW THESE CRITICAL DMAS & EMAS WILL PROVIDE INTRADAY OR CLOSING SUPPORT TO SPOT NIFTY ALTHOUGH OPERATORS & MARKET MANIPULATORS WILL TRY THEIR LEVEL BEST TO PULL THE MARKETS DOWN AT THE SLIGHTEST AMOUNT OF WELL ORCHESTRATED ADVERSE NEWS, TO WEED OUT
WEAKER HANDS. EVEN THE DELICATE & DECEPTIVE NECK LINE AROUND 5757 SPOT AS CAN BE SEEN IN THE 2 HOURLY CHART OF SPOT NIFTY ABOVE MAY BE PUNCTURED TO INDUCE A FEELING THAT THE UP MOVE OF LAST WEEK TO BREACH & CLOSE ABOVE THIS NECK LINE WAS JUST A FLUKE & WAS PART OF THE CORRECTIVE UP MOVE. HOWEVER A DECISIVE DOWNWARD BREACH OF THE NECK LINE AROUND 5757 TO 5750 SPOT ZONE & FOLLOWED BY BREACH OF BOTH THE 50 DAY SMA & 50 DAY EMA ON A CLOSING BASIS WILL DEFINITELY WEAKEN THE BULLS WHO MAY EVEN FEAR THE SLIDE TO RETEST & BREACH THE JUNCTION OF 200 DAY SMA & EMA AROUND 5665 SPOT DURING THE TRUNCATED EXPIRY WEEK OR DURING THE EARLY PART OF THE DEVASTATING MONTH OF MAY.
ALTHOUGH THE MARKETS MAY SHOW A MILDER PULL DOWN AFTER THE BIG RISE OF 4 DAYS LAST WEEK, YET TECHNICALLY IT LOOKS EXTREMELY BULLISH FOR FURTHER UP MOVE TO CONTEST THE SPOT NIFTY’S RESISTANCE LINE COMING FROM 29TH JANUARY HIGH OF 6112 & TOUCHING THE 11TH MARCH HIGH OF 5971. NIFTY SPOT WILL MEET THIS RESISTANCE LINE AROUND 5848 ABOVE WHICH NIFTY SPOT MEETS CRITICAL FIBO 61.8% RETRACEMENT LEVEL AROUND 5869 COUNTED FROM THE 29TH JANUARY HIGH OF 6112 TILL THE RECENT 10TH APRIL LOW OF 5477. SO, ALTHOUGH TECHNICALS POINT TOWARDS NEW HIGHS, YET IT MAY NOT BE A CAKE WALK FOR THE BULLS AS THESE TWO CRITICAL LEVELS AROUND 5848 FOLLOWED BY 5869 NEEDS SUMO POWERED BULLS TO BREACH AND CLOSE ABOVE THESE LEVELS TO MAKE IT EASY FOR THEM TO STRAIGHT EYE FOR THE MOST CRITICAL LEVEL OF 5979 ON THE REAL NECK LINE THAT WOULD CONFIRM THAT THE PRESENT UP MOVE IS THE RESUMPTION OF THE NEXT LEG OF THE BULL RUN TOWARDS NEW LIFE TIME HIGHS.
TECHNICAL INDICATORS POINT TOWARDS FURTHER UP MOVE WITH DAILY RSI HAVING ALREADY BREACHED ITS RESISTANCE LINE & HAVING CLOSED ABOVE THE CRITICAL 50% MARK. DAILY SLOW STOCH AS WELL AS THE DAILY MACD DO NOT LAG FAR BEHIND THE EXTRA BULLISH INDICATIONS OF DAILY RSI. THESE BULLISH TECHNICAL INDICATORS ALONG WITH BREACH OF BOTH THE SETS OF CRITICAL 34, 50 & 200 DAY SMA AS WELL AS THE EMA DURING THE LAST TRUNCATED WEEK, DEFINITELY STRENGTHEN THE BULLS WHO AT LEAST TRUST ONLY THE TECHNICALS WITHOUT BOTHERING AT ALL FOR THE MOST IMPORTANT PARAMETER OF OPERATORS PLAY. THE DRAGON BOTTOM FORMED WITH THE 10TH APRIL LOWS OF 5477 & 12TH APRIL LOWS OF 5494 ALONG WITH THE DAILY PARSAR FORMING A NECKLACE AROUND THESE LOWS SUGGEST BRIGHTER DAYS EVEN DURING THE DEVASTATING MONTH OF MAY 2013. THE SUPPORTS & RESISTANCE TO ACT AS DANCING STEPS FOR THE BULLS & THE BEARS DURING THE COMING DAYS HAVE BEEN INDICATED IN THE CHART ABOVE. BREACH OF EACH OF THESE LEVELS SHOULD TAKE NIFTY SPOT TO THE NEXT LEVEL INDICATED IN THE CHART.
AS OF NOW THE MARKETS DEFINITELY LOOK EXTREMELY BULLISH FOR FURTHER UP MOVE & NIFTY SPOT HAVING CLOSED THE WEEK ABOVE ALL THE CRITICAL WEEKLY 20, 34 & 50 EMAS IN THE FORM OF A MONSTER GREEN CANDLE OF 294 POINTS JUST 20 POINT SHORT OF THE EARLIER WEEKLY MONSTER CANDLE OF WEEK ENDING 8TH JUNE 2012. THAT AUSPICIOUS MONSTER GREEN CANDLE OF JUNE 2012 HAD THE ROCKET FUEL IN IT TO SEE SPOT NIFTY RISE FROM THE SWING LOW OF 4770 IN JUNE 2012 TO THE SWING HIGH OF 6112 IN JANUARY 2013. WELL, TIME ONLY WILL SAY TO WHICH LEVEL THE PRESENT MONSTER WEEKLY CANDLE WILL TAKE NIFTY, BUT GOING ONLY BY THE TECHNICALS ALONE, THINGS DEFINITELY LOOK ROSY FOR THE BULLS, QUIETLY SUGGESTING THE BEARS TO LOOK FOR AN ESCAPE ROUTE & COVER THEIR SHORTS IF & ONLY IF ALL THEIR COORDINATED ATTEMPTS FAIL TO PREVENT NIFTY SPOT FROM BREACHING & CLOSING ABOVE THE 5848 TO 5870 ZONE. TECHNICAL ANALYSTS MAY HAVE A CLOSER LOOK AT THE CRITICAL WEEKLY INDICATORS OF RSI, MACD & SLOW STOCHASTIC ALONG WITH THE WEEKLY CANDLE & THE WEEKLY EMAS TO QUIETLY DECIDE FOR THEMSELVES AS TO WHERE NIFTY IS HEADING DURING THE COMING WEEKS.
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