WEEKLY ANALYSIS FOR WEEK ENDING 17TH JAN 2014

TECHNICALLY  THE MARKETS LOOK HIGHLY VULNERABLE FOR A FALL & HELL WILL LET LOSE SHOULD SPOT NIFTY BREACH & MORE IMPORTANTLY CLOSES BELOW 18TH  DECEMBER LOW OF 6130. THE WEEKLY BEARISH ENGULFING FORMED FOR THE WEEK ENDING 3 JANUARY COUPLED WITH THE 5 IN 1 OUT SIDE CANDLE SETUP FORMED ON FRIDAY 10TH  JANUARY WITH  ITS MOTHER CANDLE MAKING A HIGH OF 6239 & A LOW OF 6139 HAS KEPT THE REMAINING 5 PREVIOUS DAILY CANDLES BETWEEN 3RD  JANUARY TO 9TH  JANUARY WITHIN  WOMB OF THE MOTHER CANDLE OF FRIDAY 10TH JANUARY. THE 7TH  NRB DOJI CANDLE OF 8TH  JANUARY WITH ITS LOW AT 6160 SPOT & HIGH AT 6192 WILL PLAY A VERY CRITICAL ROLE IN DECIDING THE FATE OF SPOT NIFTY DURING THE COMING FEW SESSIONS .

A DAILY CLOSE BELOW THE LOW OF THIS DEADLY 7TH  NRB DOJI AT 6160 SPOT WILL SKIP THE CRITICAL LOW OF 6130  & WILL SEE SPOT NIFTY CRASHING FOR MUCH LOWER LEVELS & A DAILY CLOSE ABOVE THE SAME 7TH  NRB DOJI'S HIGH AT 6192 SPOT WILL SEE SPOT NIFY SHOOTING UP LIKE A TRACER BULLET TOWARDS MUCH HIGHER LEVELS. THE WAY NIFTY FELL ON FRIDAY AFTER MAKING A HIGH OF 6239 TO CLOSE IN THE FORM OF A DOJI BELOW THE DAILY PIVOT CLEARLY INDICATES THAT  MOST LIKELY NIFTY IS SLATED FOR A DOWNWARD SLIDE FOR THE NEXT FEW DAYS TO THREATEN THE DOUBLE BOTTOM LOWS OF 5972 MADE ON 13TH & 22TH  NOVEMBER.

NOW THE SWING SHORTERS FROM HIGHER LEVELS WILL TRAIL THEIR STOP LOSSES TO FRIDAY'S 5 IN 1 OUTSIDE CANDLE SETUP HIGH OF 6239 SPOT & RIDE THE DOWN MOVE. .A DECISIVE BREACH OF 6239 ON ANY DAY WILL TRIGGER MASSIVE SHORT COVERING TO PROPEL SPOT NIFTY TOWARDS 6336 TO ENLIGHTEN THE BULLISH HOPE FOR  RESUMPTION OF THE UP MOVE OR ELSE THE OPERATORS BIG PLOT OF  PULLING NIFTY DOWN SO AS TO GENERATE SOME BIG UPSIDE  SPACE  SO THAT THE COMING ELECTION RESULTS WILL BE ABLE TO FULFILL  THE BLANK SPACE TOWARDS NEW LIFE TIME HIGHS.

IN CASE NIFTY DOES NOT OPEN WITH A GAP DOWN OR A DECEPTIVE GAP UP, THEN EXPECT  INITIAL SUPPORT FOR SPOT NIFTY TO COME AROUND 6161 TO 6151. EVEN SPOT NIFTY MAY BE PULLED DOWN TO RETEST OR EVEN BREACH FRIDAY’S LOWS OF

WEEKLY ANALYSIS FOR WEEK ENDING 10TH JAN 2014

THE NEW SERIES AFTER THE EXPIRY OF DECEMBER SERIES HAS NOT AT ALL GONE WELL  FOR THE INDIAN MARKETS. OTHER THAN A MINOR BLIP TO TEST THE 8TH JANUARY 2008 HIGH & THE PREVIOUS BULL MARKET HIGH OF 6357 ON 2ND JANUARY 2014 BY REACHING AN INTRADAY HIGH OF 6358, NIFTY IS FALLING CONTINUOUSLY AFTER MAKING A HIGH ON 3O DECEMBER AT 6344. A BIGGER FALL COULD HAVE BEEN EXPECTED DURING THE LAST WEEK IF IT WAS NOT THE SUPPORT FROM THE 50 DAY EMA AROUND 6171 THAT NIFTY TOOK ON FRIDAY AT THE DAY’S LOWS. THIS 50 DAY EMA SUPPORT MAY GIVE A LITTLE MORE OF  SPRING ACTION TO NIFTY SO THAT  IT CAN MOVE UP TO TEST THE 34 DAY EMA AROUND 6262 BEFORE FALLING AGAIN TO BREACH LAST WEEK’S LOWS OF 6171 TOWARDS  MUCH LOWER LEVELS AS INDICATED IN THE DAILY CHART ABOVE.

THE WEEKLY CHARTS LOOK DEVASTATING AFTER THE FORMATION OF A WEEKLY BEARISH ENGULFING CANDLE ON FRIDAY 3RD  JANUARY. THE WEEKLY HIGH FOR THE WEEKENDING 13TH DECEMBER 2013 WAS A NEW LIFE TIME HIGH AT 6415 MUCH ABOVE ITS EARLIER WEEKLY HIGH OF 6343 REACHED ON 8TH  NOVEMBER 2013. HOWEVER THE WEEKLY & THE NEW LIFE TIME HIGH AT 6415 HAS GENERATED MANY NEGATIVE DIVERGENCES IN THE WEEKLY INDICATORS LIKE WEEKLY STOCH, RSI, CCI & MACD HISTOGRAM. SO, THE BULLISH CASCADING EFFECT OF THE WEEKLY EMAs OF 5,8,13,21,34, 50, 89 & 200 STAYING ONE ABOVE THE OTHER TOGETHER WITH THE WEEKLY PRICE LEVELS ABOVE EACH OF THESE, MAY GRADUALLY LOSE THEIR BULLISH SIGNIFICANCE DUE TO THE NEGATIVE DIVERGENCE IN THE WEEKLY CHARTS.

THE BEARS HAVE FIRED THEIR FIRST SHOT BY PULLING NIFTY DOWN TO HAVE A WEEKLY CLOSE BELOW THE 5 WEEK EMA IN THE FORM OF A WEEKLY BEARISH ENGULFING CANDLE. AS OF FRIDAY’S WEEKLY CLOSING, THE  PRICE ACTION AND THE  NEGATIVE INDICATORS TURN THE BALANCE IN FAVOR OF THE BEARS & THE WEEKLY BEARISH ENGULFING CANDLE OF WEEKENDING 3RD JAN COUPLED WITH THE OVERBOUGHT CONDITION & THE  NEGATIVE  DIVERGENCES FROM THE IMPORTANT WEEKLY INDICATORS CAN GIVE SLEEPLESS NIGHTS TO THE BULLS FOR NEXT FEW WEEKS UNLESS BULLS UNITE TO TAKE SPOT NIFTY UPWARDS AGAINST ALL THE ODDS  TO HAVE A  WEEKLY OR EVEN A DAILY CLOSING ABOVE THE CRITICAL  6358 SPOT LEVELS WHICH THEN  WILL ENTIRELY TILT THE BALANCE IN FAVOR OF THE BULLS TO AIM FOR NEW LIFE TIME HIGHS ONE AFTER THE OTHER.

THE INDICATORS IN THE DAILY CHARTS DON’T LOOK ENCOURAGING FOR THE BULLS EITHER. OTHER THAN THE PIDDLY GREEN CANDLE OF FRIDAY THAT FOUND THE DYING SUPPORT ON THE 50 DAY EMA, THERE IS NOTHING THAT INDICATES BULLISHNESS FOR NIFTY WHICH MAY ENCOURAGE TRADERS TO INDULGE IN MERCILESS SHORTING ACTION ON EVERY RISE OF NIFTY  AS LONG AS SPOT NIFTY CONTINUES TO DANCE UNDER  THE PERFORATED ROOF OF THE  CRITICAL 6358 LEVELS. OTHER THAN THE

NIFTY SPOT 3 MONTHS DAILY CHART 25TH SEPT TO 27TH DEC

WEEKLY ANALYSIS FOR WEEK ENDING 03 JAN 2014

EVEN THOUGH NIFTY MADE A NEW LIFE TIME HIGH ON 9TH DECEMBER AT 6415 BY BREACHING THE 6 YEAR OLD 8TH JANUARY 2008 HIGH OF 6357, YET IT COULD NOT SUSTAIN AROUND THE NEW HIGH EVEN FOR A MINUTE AND CONTINUED TO FALL TILL 18TH DECEMBER LOWS OG 6130 SPOT LEVELS. THIS TYPE OF PROFIT BOOKING CORRECTION IS VERY COMMON I ALL MARKETS WHEN A NEW LIFE TIME HIGH IS MADE & ONE SHOULD BE ABSOLUTELY SURE TO SEE MANY MORE OF SUCH NEW LIFE TIME HIGHS FOLLOWED BY MILD CORRECTIONS TO COMPLETE THE BULL MARKET OF LIFE TIME BY 2016. HENCE ANY CORRECTION IN NIFTY BY 200 TO 300 POINTS IF AT ALL IT COMES SHOULD BE TAKEN AS A GOD SENT OPPORTUNITY FOR LONG TERM INVESTORS TO BUY AND HOLD. THE DOUBLE BOTTOM LOWS OF 5972 MADE ON 13TH & 22ND NOVEMBER SHOULD BE KEPT AS STOP LOSS FOR ALL LONG TERM POSITIONS A DECISIVE BREACH OF WHICH MAY SEE ANOTHER FALL OF ABOUT 250 TO 270 POINTS TOWARDS THE NEXT CRITICAL SUPPORT OF 5700 SPOT. IN ANY CASE FOR SHORT TERM OR EVEN MEDIUM TERM PLAYERS, A DECISIVE BREACH OF 18TH DECEMBER LOWS OF 6130 SPOT ON A CLOSING BASIS SHOULD BE ENOUGH INDICATION TO TRADE SHORT TILL ANOTHER LIFE TIME HIGH IS MADE ABOVE 6415 SPOT.

AS CAN BE SEEN IN THE DAILY CHART OF SPOT NIFTY ABOVE, NIFTY IS IN THE PROCESS OF AN UPWARD LOOKING CHANNEL WHOSE UPWARD TILTING RESISTANCE LINE IS FORMED BY JOINING THE 19TH SEPTEMBER HIGH OF 6142 & 3RD NOVEMBER HIGH OF 6343 & THIS RESISTANCE LINE WHEN EXTENDED POINTS TOWARDS 6600 & HIGHER LEVELS. SIMILARLY THE LOWER SUPPORT LINE IS FORMED BY JOINING THE 1ST OCTOBER LOWS OF 5701, 22ND NOVEMBER LOWS OF 5972 & 18TH DECEMBER LOW OF 6130 &

WEEKLY ANALYSIS FOR WEEK ENDING 06TH DECEMBER

AFTER THREE CONSECUTIVE WEEKS OF FALLS  DURING THE FIRST THREE TRADING WEEKS OF NOVEMBER, THE FINAL WEEK ENDING 29TH NOVEMBER HAD A BULLISH WEEKLY CLOSING FOR SPOT NIFTY BY CLOSING AT 6176 COMPARED TO ITS PREVIOUS WEEK ENDING 22ND NOVEMBER CLOSING OF 5995. WHAT IS MORE IMPORTANT IS THAT THE  20 WEEK EMA & SMA CONTINUE TO RETAIN THEIR SANCTITY, AS NIFTY SPOT SINCE THE WEEKENDING 11 OCTOBER HAS NOT BEEN ABLE TO TOUCH THESE TWO WEEKLY MOVING AVERAGES & NIFTY SPOT HAS CONTINUED TO STAY ABOVE THESE CRITICAL WEEKLY MOVING AVERAGES. THE OTHER IMPORTANT ASPECT OF THESE WEEKLY MOVING AVERAGES IS THAT 20 IS ABOVE 50 & BOTH ARE ALSO ABOVE THE 200 WEEKLY MOVING AVERAGES CONFIRMING THAT THE LONG TERM, MEDIUM TERM & EVEN THE SHORT TERM AS WELL ARE IN BULL GRIP.

THE WEEKLY RSI TAKING AN ABOUT TURN UPWARDS  TOWARDS 60 JUST BEFORE TOUCHING 50 MARK  IS ANOTHER CONFIRMATION SIGNAL THE BULLS MUST MAKE FULL USE OF TO BASH ON REGARDLESS INITIALLY TOWARDS THE CRITICAL 6212 SPOT FOLLOWED BY THE NEW LIFE TIME HIGHS MUCH ABOVE THE 8TH JANUARY 2008 HIGH OF 6357 SPOT. SO, UNLESS THERE ARE CATASTROPHIC EVENTS EFFECTING INDIAN ECONOMY  OR THE EXTERNAL OPERATORS & MANIPULATORS REALLY WANT TO SUPPRESS  INDIAN MARKETS FOR SOME MORE WEEKS TO CONTINUE LIFTING  OTHER MARKETS UP, THERE IS A VERY HIGH PERCENTAGE OF CHANCE THAT INDIAN MARKETS SHOULD SEE A NEW LIFE TIME HIGH BY END OF THIS YEAR.

IN THE DAILY CHARTS THE ROUTINE INDICATORS  LIKE MACD,  RSI,  STOCH  &  CCI   LOOK HIGHLY BULLISH FOR SOME MORE DAYS.  AFTER TWO DOJI DAYS ON 27TH & 28TH NOVEMBER, THE WAY FRIDAY’S GREEN CANDLE HAS OPENED & CLOSED MUCH ABOVE THESE TWO EARLIER DOJIS THAT TOO TO CLOSE NOT ONLY ABOVE   THE DAILY PIVOT BUT ALSO TO CLOSE FAR ABOVE THE IMPORTANT RESISTANCE LINE JOINING THE DECEPTIVE DIWALI 3RD NOV HIGH OF 6342 &  19TH NOVEMBER HIGH OF  6212, IS A  GOOD SIGNAL FOR SOME MEGA RISE & IS A CLEAR SIGNAL  FOR BULLS NOT TO ALLOW  THIS GOLDEN OPPORTUNITY TO SLIP OUT OF THEIR HANDS.  A RISE BY SPOT NIFTY TO HAVE A DECISIVE CLOSE ABOVE 19TH NOV HIGH OF 6212  MAY SEE  BEARS SCRAMBLING FOR COVER BY RESORTING TO MONSTROUS  SHORT COVERING OF  WHATEVER SHORT POSITION IF AT ALL THEY POSSESS AS OF NOW. HOWEVER A FAILURE TO BREACH AND MORE IMPORTANTLY TO SUSTAIN ABOVE THE CRITICAL 6212 SPOT WILL SEE THE BULLS GETTING MASSACRED DAY AFTER DAY,  AS IN THAT CASE AN INITIAL BREACH OF THE 27TH NOV DOJI LOW OF 6030 FOLLOWED BY   EVEN THREATENING TO RETEST & BREACH THE DOUBLE BOTTOM LOWS OF 5973 SPOT IS ALSO POSSIBLE.

AS PER THE WEEKLY & THE DAILY TECHNICALS, THE DOUBLE BOTTOM FORMED AT THE 5973 SPOT LEVELS IS GOING TO BE A FORMIDABLE SUPPORT FOR NIFTY SPOT FOR MANY MANY WEEKS & MONTHS TO COME THAT ENCOURAGES SWING TRADERS TO BOLDLY HOLD THEIR SWING LONGS. EVEN FRESHERS MAY LOOK FOR AN INTRADAY DECLINE TO INITIATE LONGS & HOLD THE LONGS  WITH STOP LOSS BELOW 27TH NOVEMBER LOW OF 6030 SPOT. A BREACH OF THIS INITIAL LOW OF 6030 WILL OPEN THE FLOOD GATES TOWARDS THE DOUBLE BOTTOM LOW OF 5973 SPOT & ONLY A DECISIVE CLOSE  BELOW THE DOUBLE BOTTOM LOW OF 5973 SPOT CAN SEE MUCH LOWER LEVELS .

SINCE 20 NOVEMBER, SPOT NIFTY HAD REMAINED BELOW BOTH THE 20 DAY EMA & 20 DAY SMA FOR 7 CONSECUTIVE DAYS & THE  123 BREAKOUT GREEN CANDLE OF FRIDAY HAS TAKEN SPOT NIFTY HIGH ABOVE BOTH THESE MOVING AVERAGES  &  THAT TOO, TO CLOSE FAR ABOVE BOTH THESE SETS OF MOVING AVERAGES& ALSO ABOVE THE DAILY PIVOT  IS ANOTHER BOOSTER DOSE FOR THE BULLS TO HAMMER THE BEARS OUT OF SHAPE.  THE RESISTANCE LINE NOW AROUND 6100 SPOT WILL

WEEKLY ANALYSIS FOR WEEK ENDING 29TH NOVEMBER

THE WEEK ENDING 22TH NOV MOVED EXACTLY AS WAS MENTIONED IN THE WEEKLY ANALYSIS FOR THE WEEK BELOW. THE WEEK SAW NIFTY FUTURE MAKING  A FRESH LOW OF 5984 AROUND 3 PM  ON FRIDAYS AFTER BREACHING THE EARLIER 13TH NOVEMBER SWING LOW OF 6009 BUT THE LAST HALF AN HOUR OF FRIDAY SAW NIFTY FUTURES RISING SHARPLY FROM THE LOW OF 5984 TO 6033 TO FINALLY CLOSE AROUND 6033 THUS BRINGING SOME CHEERS FOR THE HARASSED BULLS TO AT LEAST HAVE THE WEEKEND IN PEACE. THE FACT THAT IN SPITE OF THE SAVAGE FALLS, SPOT NIFTY INDEX DID NOT DECISIVELY BREACH THE  13 NOV SWING LOW OF 5973 AND JUST BOUNCED FROM 5972.95, WAS A SUPERB JOB DONE BY THE INDEX MANAGEMENT DACOITS TO FOX THE FUTURE TRADERS BUT KEEP THE MAIN SPOT INDEX AS A HOPE GENERATOR FOR THE BULLS,  WHO ONLY TO BE FOOLED AGAIN BY THESE FOREIGN DACOITS. THE LAST HALF HOUR SHORT COVERING RISE HAS PUT THE BEARS IN A FIX WHETHER TO RESUME SHORTING AGAIN FROM THE VERY START OF NEXT WEEK STARTING 25TH NOV OR WAIT FOR ANOTHER DECEPTIVE RISE TOWARDS THE  RESISTANCE LEVELS OF 6050 TO 6060 SPOT LEVELS TO UN-LEASE THEIR ENTIRE SHORTING POWER BY HAVING STOP LOSS ABOVE THURSDAY 21ST NOV OPENING GAP HIGH OF 6096 TO 6107 SPOT ZONE.

IN THE DAILY CHART OF SPOT NIFTY BOTH THE 50 DAY EMA & THE SMA LOOK LIKE HAVING GOT MARRIED AROUND THE LEVEL OF 6040 TO 6050 SO ALSO ARE BOTH THE 200 DAY EMA & THE SMA AROUND THE 5858 SPOT LEVELS. SPOT NIFTY NEEDS TO MOVE UP AND DECISIVELY CLOSE ABOVE THE MARRIED COUPLE OF 50 DAY EMA & SMA ABOVE 6050 SO THAT THE +VE DIVERGENCE INDICATED BY SOME OF THE DAILY INDICATORS LIKE RSI, CCI, MACD HISTOGRAM & STOCH CAN ENJOY THE MARRIAGE PARTY TO ENERGIZE THE BULLS TOWARDS SOME MORE RISE. THE RESISTANCE LINE COMING FROM  DIWALI’S DECEPTIVE HIGH OF 6343  JOINING THE 19TH NOV HIGH OF 6213  SLIDES DOWN TO MEET SPOT NIFTY AROUND 6161 LEVELS & THIS RESISTANCE LINE CERTAINLY WILL BE THE MAJOR HURDLE FOR ANY FURTHER UP MOVE.


 A DECISIVE BREACH OF THIS RESISTANCE LINE WILL CERTAINLY GENERATE MASSIVE SHORT COVERING & EVEN HARD CORE SWING SHORTERS MAY RETHINK WHETHER TO QUIT THE SHORTS  ON A BREACH OF THIS RESISTANCE LINE ON A CLOSING BASIS OR STILL HOLD THEIR SWING SHORTS TILL SPOT NIFTY BREACHES THE 19TH NOV HIGH OF 6212 TO CLOSE ABOVE IT. SHOULD THIS HAPPEN THEN BEARS MAY NOT BE VISIBLE AT ALL & EVEN THE DECEPTIVE DIWALI HIGH OF 6343 SPOT WILL BE ENTIRELY SKIPPED TO SEE SPOT NIFTY MAKING A NEW LIFE TIME HIGH BEFORE THIS YEAR END ABOVE THE 6 YEAR OLD 8TH JANUARY 2008 HIGH OF 6357 SPOT. A FAILURE ON THE PART OF THE BULLS TO LIFT SPOT NIFTY ABOVE THE RESISTANCE LINE  OR MORE IMPORTANTLY ABOVE 6161 WILL CONFIRM THE CONTINUATION OF THE DOWN SIDE A,B,C CORRECTION THAT HAS STARTED FROM DIWALI HIGH OF 6343 SPOT TOWARDS 5878 TO 5858 SPOT LEVELS TO AT LEAST SAY A HELLO  TO THE MARRIED COUPLE OF 200 DAY EMA & SMA HIDING THERE FOR A VERY LONG TIME.

IN THE WEEKLY CHART OF SPOT NIFTY, THE WEEKLY CANDLE HAS MADE AN OUT SIDE CANDLE FORMATION  WITH THE WEEKLY CANDLE OF WEEKENDING 11TH NOV. A BREACH OF THE LOWS AROUND 5973 WILL CONFIRM THAT THE BEARISH ENGULFING CANDLE FOR THE WEEK ENDING 8TH NOV HAS MORE VENOM TO BE INJECTED INTO THE BULLS. THE ONLY SAVING FACTOR IN THE OVERBOUGHT LOOKING WEEKLY CHARTS IS THAT SPOT NIFTY HAS NOT YET BREACHED THE 20 WEEK EMA AROUND THE CRITICAL LEVEL OF 5959, BELOW WHICH  COMES THE CRITICAL ZONE OF  5878 TO 5890 WHERE POLYGAMY IS BEING PERFORMED BY 34 WEEK EMA,34 WEEK SMA,20 WEEK SMA AND THE 50 WEEK SMA.. SO, EVEN THOUGH MOST OF THE WEEKLY INDICATORS LOOK OVERBOUGHT YET WILL FIND SUPPORT AROUND THESE AUSPICIOUS MARRIAGE PANDALS LOCATED AROUND 5959 & 5878 SPOT.

SUPPORTS & RESISTANCES FOR SPOT NIFTY DURING THE COMING WEEK ARE AS PER THE LEVELS INDICATED IN THE 2 HOURLY CHART OF SPOT NIFTY ABOVE. BREACH OF EACH OF THE UP SIDE OR THE DOWN SIDE STEP WILL TAKE NIFTY SPOT TO THE NEXT STEP MENTIONED. THE MOMENTUM INDICATOR STOCHASTIC AS CAN BE SEEN IN THE TWO HOURLY CHART ABOVE HAS NOT YET MOVED UP  ABOVE THE 20 MARK ALTHOUGH IT DECEPTIVELY LOOKS OVERSOLD. HOWEVER SHOULD SPOT NIFTY MOVE UP TO BREACH THE INITIAL RESISTANCE AREA OF 6050 TO 6060 THEN ONE CAN NOTICE COMMENCEMENT OF THE INITIAL BOUT OF SHORT COVERING TO START  A CHAIN REACTION IN FAVOR OF THE BULLS TO AROUSE FRESH BUYING INTEREST OR ELSE IT WILL BE THE CONTINUATION OF THE BEARS HONEYMOON PERIOD OF SHORT ON RISE TO SEE MUCH LOWER LEVELS.

MARKETS FOR WEDNESDAY 13TH NOVEMBER

AS EXPECTED NIFTY SAW ITS SIXTH CONSECUTIVE DAY OF FALLS AND AGAIN BE SURE TILL EVERYONE START TO BELIEVE THAT MARKET HAS TURNED BEARISH , NIFTY WILL BE MADE TO FALL ONLY WITH A FACE SAVING FLAT DAY HERE & THERE. HAVING TESTED THE INTRADAY LOW OF 6012 SPOT ON TUESDAY AROUND THE LEVEL OF 50% RETRACEMENT & ALSO AROUND THE 50 DAY EMA, NIFTY SPOT MAY BE MADE TO MAKE A DECEPTIVE RISE BUT ONLY TO BE PULLED DOWN AGAIN TO TEST THE MOST IMPORTANT RETRACEMENT LEVEL OF 61.8% AROUND 5945. THE RUNNING WEEK BEING ANOTHER TRUNCATED WEEK WITH HOLIDAY ON THURSDAY 14TH, EXPECT SOME SHORT COVERING RISE ON WEDNESDAY & ALSO FRIDAY TO SLIDE AGAIN FROM NEXT WEEK TILL A BEARISH ATMOSPHERE IS INDUCED IN THE MINDS OF ALL TRADERS & INVESTORS ONLY TO FIND AFTER IT THAT NIFTY IS RISING AGAIN TOWARDS NEW LIFE TIME HIGHS.

FOR INTRADAY TRADING ON WEDNESDAY, SPOT NIFTY WHICH HAS CLOSED AROUND 6018 NEAR THE LOWEST POINT OF THE DAY, LOOKS WEAK FOR FURTHER SLIDE TOWARDS SUB 6000 SPOT LEVELS SO THAT IT CAN MOVE NEARER TO PEEP AT OR EVEN KISS THE FIBO 61.8% LEVEL OF 5945 BEFORE A REASONABLE BOUNCE. HOWEVER INSTEAD OF FALLING ON WEDNESDAY, IN CASE SPOT NIFTY MOVES UP TO SUSTAIN ABOVE 6040 TO 6045 ZONE THEN EXPECT HIGHER SPOT NIFTY LEVELS OF 6055 FOLLOWED BY 6075 TO EYE FOR 6100 AGAIN.

SIMILARLY ON THE LOWER SIDE , CONTINUANCE OF WEAKNESS FROM WHERE BEARS HAD LEFT NIFTY ON TUESDAY END OR A FAILURE ON THE PART OF BULLS TO LIFT NIFTY SPOT TO BREACH AND SUSTAIN ABOVE THE CRITICAL ZONE OF 6040 TO 6044 WILL SEE NIFTY AGAIN FALLING TOWARDS PSYCHOLOGICAL LEVEL OF 6000 FOLLOWED BY 5988 TO 5980 SUSTAINING BELOW WHICH WILL PUSH THE BULLS SOUTH TOWARDS 5970 FOLLOWED BY THE CRITICAL FIBO 61.8% LEVEL AROUND 5950 TO 5945 FOR A BOUNCE UPWARDS.