Breakout !!

Nifty daily chart

Today Nifty has breached major resistance at 5665 as well as 200 DMA which has changed the short term trend to positive. Nifty will remain in uptrend as long as it is above 5580. 

Nifty medium term trend

Trend	DOWN
Initiation Date	26-02-13
Initiated at	5761
Low since change	5569
Reversal if closes above	5780

Technical updates on Nifty and Bank Nifty

Nifty daily chart

Nifty has continued to trade in a narrow range. In today's trading session it has reached important trend line resistance. So I will not be surprised if Nifty once again falls down in tomorrow trading session. Best thing to do in choppy market is to stay away from index. However traders can consider selected high beta index stocks for trading.

Bank Nifty weekly chart

Bank Nifty has made a sharp bounce back in past  trading sessions. SBI , Axis Bank , PNB etc have performed well. But this bounce back could be a potential trap!!. In daily chart Bank Nifty has breached 200 DMA which is a bullish sign. But look at weekly chart it is nearing important resistance. So long position holders in Banking sector stay alert. 

Nifty medium term trend

Trend	DOWN
Initiation Date	26-02-13
Initiated at	5761
Low since change	5569
Reversal if closes above	5780

Thought for the day

Why are people so afraid ? The answer is that they have made themselves helpless and dependent on others , we are so lazy that we don't want to do anything by ourselves. We want a personal god , or a savior or a prophet to do everything for us - Swami Vivekananda

Technical updates on ICICI Bank , HDFC Bank and Tata Motors

ICICI Bank

ICICI Bank has sustained the breakout but compared to SBI or Axis Bank it didn't gain much momentum. We have bullish position in ICICI Bank.

HDFC Bank

HDFC Bank is trading within a sloping channel. The importance of this channel is very high as it indicates primary trend of the stock. Now HDFC Bank has once again reached resistance level. Long position can be considered if it breaks this resistance.

Tata Motors

Similar to HDFC Bank , Tata Motors also has reached resistance level at Rs. 282. Breakout from this level can take Tata Motors to Rs.310.

Nifty medium term trend

Trend	DOWN
Initiation Date	26-02-13
Initiated at	5761
Low since change	5569
Reversal if closes above	5780

 

Thought for the day

The mind is nothing but subtle part of the body. You must retain great strength in mind and words - Vivekananda

Technical updates on Bank Nifty and ICICI Bank

Bank Nifty

Bank Nifty has formed triangle formation in daily chart. In today's trading session it has closed exactly at resistance level. If it breaks trend line resistance then we can expect uptrend. However low risk entry is to buy if it closes above 200 DMA.

ICICI Bank

ICICI Bank has breached trend line resistance. MACD , RSI are indicating buy and so traders can create long position.

Range of the market is as of now narrow. Either uptrend or downtrend is not sustaining for long time. Since medium term trend of market is down long position holders should come out little bit early so that you won't end fall in to traps.

Nifty medium term trend

Trend	DOWN
Initiation Date	26-02-13
Initiated at	5761
Low since change	5569
Reversal if closes above	5780

Thought for the day

Every action that helps up to manifest our divine nature more and more is good. Anything that retards that is evil. - Swami Vivekananda

Technical update on Nifty

Nifty daily chart

Nifty has made a sharp bounce back from channel support level. But now it will face resistance at trend line (marked in red , 200 DMA which is around 5660 and then upper part of channel which is also at 5660. So over all Nifty will be in a narrow range and keep surprising traders with sudden pull back or fall. Stay cautious.

Nifty medium term trend

Trend	DOWN
Initiation Date	26-02-13
Initiated at	5761
Low since change	5569
Reversal if closes above	5780

Thought for the day

The mind has to be made malleable like clay. Just as clay sticks wherever you throw it, so the mind must be made to dwell upon whatever object you concentrate it. - Swami Vivekananda