Wednesday, March 10, 2010

Nifty - Market Direction

We've had a considerable upmove over the last couple of days and I feel that the upmove may not have ended yet. We may see consolidation around the 5000 , 4900 and 4850 levels for sometime (2 - 3 weeks) before any further upmoves. Eitherway, you could choose to take a short position at 5100 (+/-20 pts) and hold those shorts till we reach the levels suggested (5020 / 4950 / 4900 / 4850 or lower - upto 4650) - Your Stop for this trade would be a few points above the previous high (5145).

Alternatively breaking below 4850 / 4650 - we can see moves upto 4300 over the next couple of weeks. This could be our alternative scenario.

This will be a boring market to trade as we can see sideways action over the next 3-4 weeks. Maybe a good time to take a vacation?

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