IT WAS THE SECOND CONSECUTIVE WEEK OF BULLISH CLOSING FOR NIFTY WHEN IT CLOSED THE WEEK AT 5871 SPOT LEVELS ABOVE THE FIBO 61.8% RETRACEMENT LEVEL OF 5868. ALTHOUGH THE CANDLE OF THE WEEK ENDING 26TH APRIL WAS NOT AS MONSTROUS AS THE CANDLE OF WEEKENDING 19TH APRIL YET THE FACT THAT IT HAS BREACHED THE 3 CRITICAL RESISTANCES OF 5757 WHICH WAS THE NECK LINE OF THE INITIAL CUP HANDLE, 5838 THE RESISTANCE LINE COMING FROM THE SWING HIGH OF 6112 AND FINALLY THE CRITICAL FIBO 61.8% RETRACEMENT LEVEL OF 5868 TO HAVE A DAILY AND A WEEKLY CLOSING ABOVE IT ARE STRONG BULLISH SIGNALS SUGGESTING THE BULLS TO PRAY FOR A DECLINE TO DOUBLE THE LONG HOLDINGS. A DAY OR MORE OF A FRIDAY 26TH APRIL TYPE DECLINE WHEN NIFTY MADE A LOWER HIGH, LOWER LOW & A LOWER CLOSING COMPARED TO ITS PREVIOUS DAY IS THE IDEAL SITUATION FOR THE BULLS TO REMAIN CALM AND AGAIN JUMP INTO THE GAME IF AT ALL NIFTY SPOT IS PULLED DOWN TOWARDS SUB 5800 OR 5750 LEVELS.
DURING THE COMING TRUNCATED WEEK NIFTY MAY BE PULLED DOWN TO COVER THE GAP BETWEEN 5854 TO 5844 LEFT BETWEEN 23RD & 25TH APRIL. EVEN NIFTY MAY BE MADE TO RETEST THE RESISTANCE LINE AROUND 5808 TO 5818 & EVEN BE PULLED DOWN BELOW IT TO WEED OUT WEAKER HANDS. THE MAY MONTH FEAR WILL BE SPOKEN TIME & AGAIN TO KEEP THE GENUINE INVESTORS AWAY FROM THE MARKETS. NIFTY EVEN MAY BE PULLED DOWN BELOW 5791 TO 5775 TO GENERATE PANIC AMONG THE INNOCENT INVESTORS INDUCING A FEAR THAT THE ONSET OF DEVASTATING MAY MONTH IS TAKING ITS TOLL. BUT BE ABSOLUTELY SURE AFTER COMPLETING THE RETRACEMENT TO THE BIG RISE FROM THE LOW OF 5477 TO THE HIGH OF 5924, THE NEXT MONSTROUS UP MOVE WILL TAKE NIFTY SPOT PAST THE CRITICAL RESISTANCE OF 5975 TO NOT ONLY EYE FOR THE SWING HIGH OF 6112 BUT ALSO LOOK FOR A NEW LIFE TIME HIGHS. SO, LONG TO MEDIUM TERM INVESTORS SHOULD MAKE THE BEST USE OF THE ROUTINE RETRACEMENT & THE MAY MONTH PHOBIA TO ADD TO THEIR LONG POSITIONS TO RIDE THE ON GOING MEGA BULL RUN. THE MONTH OF MAY FOR MANY YEARS IN THE PAST HAD GIVEN ASTOUNDING GAINS AND WHO KNOWS THIS MAY MONTH AFTER 3 CONSECUTIVE NEGATIVE MAY MONTHS OF 2010, 2011 & 2012 MAY GIVE 2013 A THUMPING UP MOVE.
IF ONE HAS A CLOSER LOOK AT THE WEEKLY INDICATORS, ONE WILL JUST LOOK FOR A MILDER RETRACEMENT TO BUY ONLY WITH THE WEEKLY STOCH, MACD & RSI GENERATING STRONG BUY SIGNALS. THE DECEPTIVE OVER BOUGHT LOOKING DAILY & LOWER TIME FRAMES MAY BE TEMPORARY IN NATURE THAT WILL BOW DOWN TO THE STRONG BULLISH WEEKLY INDICATORS AFTER MILD RETRACEMENTS. NIFTY HAVING DECISIVELY CLOSED ABOVE THE WEEKLY PIVOT & ABOVE ALL THE CRITICAL WEEKLY EMAS OF 20, 34,50,89 & 200 EMAS IS GENERATING ROBUST BULLISH SIGNALS FOR MEGA UP MOVE IN THE LONG TERM. THE CRITICAL RESISTANCE LINE JOINING THE WEEKLY HIGHS OF WEEKS ENDING 15TH FEB AT 5969, 27TH FEB AT 5971 & 15TH MARCH AT 5971 NEEDS TO BE DECISIVELY BREACHED BY NIFTY SPOT AND A CLOSE ABOVE 5975 SPOT WILL SURELY SIGNAL TOWARDS NEW LIFE TIME HIGHS IN NEXT FEW WEEKS.
IN THE DAILY CHARTS, NIFTY SPOT HAS FORMED A BEARISH HARAMI ON FRIDAY 26TH APRIL THAT THREATENS CONTINUANCE OF THE DOWNWARD RETRACEMENT AFTER THE MEGA APRIL MONTH RISE FROM THE 10TH APRIL LOW OF 5477 TILL EXPIRY DAY 25TH APRIL HIGH OF 5924 SPOT. A SLIDE BELOW THE GAP LOW OF 5854 CAN TAKE IT DOWN BY ANOTHER 10 PONTS TO CLOSE THE GAP TILL 5844. HOWEVER A CLOSE BELOW THE EXPIRY DAY 25TH APRIL GAP LOW OF 5854 THAT HAS FORMED AN INSIDE DAY CANDLE WITH THE HARAMI OF FRIDAY & ALSO IS BELOW THE CRITICAL FIBO 61.8% LEVEL OF 5868, MAY SEE NIFTY SPOT FALLING FURTHER TILL 23RD APRIL NAUGHTY HAMMER LOW OF 5791 TO BE ATTRACTED BY THE EARLIER NECK LINE OF THE CUP HANDLE FORMATION AROUND 5757 TO BOUNCE UP FROM THERE. HOWEVER IF THE BULLS ARE DETERMINED THEN THEY MAY NOT EVEN ALLOW SPOT NIFTY TO FALL BELOW THE 23RD APRIL HAMMER LOW OF 5791.
THE ZONE BETWEEN SPOT 5759 TO 5739 NOT ONLY HAS THE DAILY PIVOT BUT ALSO THE NECKLACES OF 50, 34 & 20 DAY EMAS THAT THE BULLS MUST PROTECT TO STALL THE DOWN SIDE RETRACEMENT OR ELSE THE RETRACEMENT CAN BE EXPECTED TO BE FURTHER DOWN TOWARDS THE MARRIED COUPLE OF BOTH THE 200 DAY EMA & 200 DAY SMA COILED AROUND 5670 SPOT NIFTY LEVELS. ON THE HIGHER SIDE A DECISIVE BREACH OF EXPIRY DAY HIGH OF 5924 MAY CATAPULT NIFTY SPOT TOWARDS THE REAL BATTLE LINE AROUND 5975 THAT MAY PERHAPS BE BREACHED AFTER NUMBER OF DAYS OF TOUGH BATTLE BETWEEN THE BULLS & THE BEARS IN THE MONTH OF MAY. SUPPORT & RESISTANCE LEVELS FOR NIFTY SPOT ARE GIVEN IN THE 2 HOURLY CHART ABOVE. A DECISIVE BREACH OF EACH OF THE SUPPORT OR RESISTANCE MAY TAKE SPOT NIFTY TO THE NEXT LEVEL INDICATED.
DURING THE COMING TRUNCATED WEEK NIFTY MAY BE PULLED DOWN TO COVER THE GAP BETWEEN 5854 TO 5844 LEFT BETWEEN 23RD & 25TH APRIL. EVEN NIFTY MAY BE MADE TO RETEST THE RESISTANCE LINE AROUND 5808 TO 5818 & EVEN BE PULLED DOWN BELOW IT TO WEED OUT WEAKER HANDS. THE MAY MONTH FEAR WILL BE SPOKEN TIME & AGAIN TO KEEP THE GENUINE INVESTORS AWAY FROM THE MARKETS. NIFTY EVEN MAY BE PULLED DOWN BELOW 5791 TO 5775 TO GENERATE PANIC AMONG THE INNOCENT INVESTORS INDUCING A FEAR THAT THE ONSET OF DEVASTATING MAY MONTH IS TAKING ITS TOLL. BUT BE ABSOLUTELY SURE AFTER COMPLETING THE RETRACEMENT TO THE BIG RISE FROM THE LOW OF 5477 TO THE HIGH OF 5924, THE NEXT MONSTROUS UP MOVE WILL TAKE NIFTY SPOT PAST THE CRITICAL RESISTANCE OF 5975 TO NOT ONLY EYE FOR THE SWING HIGH OF 6112 BUT ALSO LOOK FOR A NEW LIFE TIME HIGHS. SO, LONG TO MEDIUM TERM INVESTORS SHOULD MAKE THE BEST USE OF THE ROUTINE RETRACEMENT & THE MAY MONTH PHOBIA TO ADD TO THEIR LONG POSITIONS TO RIDE THE ON GOING MEGA BULL RUN. THE MONTH OF MAY FOR MANY YEARS IN THE PAST HAD GIVEN ASTOUNDING GAINS AND WHO KNOWS THIS MAY MONTH AFTER 3 CONSECUTIVE NEGATIVE MAY MONTHS OF 2010, 2011 & 2012 MAY GIVE 2013 A THUMPING UP MOVE.
IF ONE HAS A CLOSER LOOK AT THE WEEKLY INDICATORS, ONE WILL JUST LOOK FOR A MILDER RETRACEMENT TO BUY ONLY WITH THE WEEKLY STOCH, MACD & RSI GENERATING STRONG BUY SIGNALS. THE DECEPTIVE OVER BOUGHT LOOKING DAILY & LOWER TIME FRAMES MAY BE TEMPORARY IN NATURE THAT WILL BOW DOWN TO THE STRONG BULLISH WEEKLY INDICATORS AFTER MILD RETRACEMENTS. NIFTY HAVING DECISIVELY CLOSED ABOVE THE WEEKLY PIVOT & ABOVE ALL THE CRITICAL WEEKLY EMAS OF 20, 34,50,89 & 200 EMAS IS GENERATING ROBUST BULLISH SIGNALS FOR MEGA UP MOVE IN THE LONG TERM. THE CRITICAL RESISTANCE LINE JOINING THE WEEKLY HIGHS OF WEEKS ENDING 15TH FEB AT 5969, 27TH FEB AT 5971 & 15TH MARCH AT 5971 NEEDS TO BE DECISIVELY BREACHED BY NIFTY SPOT AND A CLOSE ABOVE 5975 SPOT WILL SURELY SIGNAL TOWARDS NEW LIFE TIME HIGHS IN NEXT FEW WEEKS.
IN THE DAILY CHARTS, NIFTY SPOT HAS FORMED A BEARISH HARAMI ON FRIDAY 26TH APRIL THAT THREATENS CONTINUANCE OF THE DOWNWARD RETRACEMENT AFTER THE MEGA APRIL MONTH RISE FROM THE 10TH APRIL LOW OF 5477 TILL EXPIRY DAY 25TH APRIL HIGH OF 5924 SPOT. A SLIDE BELOW THE GAP LOW OF 5854 CAN TAKE IT DOWN BY ANOTHER 10 PONTS TO CLOSE THE GAP TILL 5844. HOWEVER A CLOSE BELOW THE EXPIRY DAY 25TH APRIL GAP LOW OF 5854 THAT HAS FORMED AN INSIDE DAY CANDLE WITH THE HARAMI OF FRIDAY & ALSO IS BELOW THE CRITICAL FIBO 61.8% LEVEL OF 5868, MAY SEE NIFTY SPOT FALLING FURTHER TILL 23RD APRIL NAUGHTY HAMMER LOW OF 5791 TO BE ATTRACTED BY THE EARLIER NECK LINE OF THE CUP HANDLE FORMATION AROUND 5757 TO BOUNCE UP FROM THERE. HOWEVER IF THE BULLS ARE DETERMINED THEN THEY MAY NOT EVEN ALLOW SPOT NIFTY TO FALL BELOW THE 23RD APRIL HAMMER LOW OF 5791.
THE ZONE BETWEEN SPOT 5759 TO 5739 NOT ONLY HAS THE DAILY PIVOT BUT ALSO THE NECKLACES OF 50, 34 & 20 DAY EMAS THAT THE BULLS MUST PROTECT TO STALL THE DOWN SIDE RETRACEMENT OR ELSE THE RETRACEMENT CAN BE EXPECTED TO BE FURTHER DOWN TOWARDS THE MARRIED COUPLE OF BOTH THE 200 DAY EMA & 200 DAY SMA COILED AROUND 5670 SPOT NIFTY LEVELS. ON THE HIGHER SIDE A DECISIVE BREACH OF EXPIRY DAY HIGH OF 5924 MAY CATAPULT NIFTY SPOT TOWARDS THE REAL BATTLE LINE AROUND 5975 THAT MAY PERHAPS BE BREACHED AFTER NUMBER OF DAYS OF TOUGH BATTLE BETWEEN THE BULLS & THE BEARS IN THE MONTH OF MAY. SUPPORT & RESISTANCE LEVELS FOR NIFTY SPOT ARE GIVEN IN THE 2 HOURLY CHART ABOVE. A DECISIVE BREACH OF EACH OF THE SUPPORT OR RESISTANCE MAY TAKE SPOT NIFTY TO THE NEXT LEVEL INDICATED.
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