Market updates for 16/11/2012

 

Nifty daily chart

 

 

As expected Nifty has reached the support level which is at 5630. Clearly there is a weakness in the market however downside breakout may not happen immediately as Nifty has reach a level where there is multiple support. It is safer to short Nifty if it closes below trend line support which is around 5570.

 

Nifty weekly chart

 

 

Consolidation pattern is clearly visible in weekly chart. From past 8 weeks Nifty is unable to close above 5740 or below 5630. Even if Nifty closes below 5630 on weekly basis it can take support at ascending trend line and so there is every possibility that the breakout from this zone will be a false breakout. These are the various possibilities  lets see what happens in coming days.

 

Nifty medium term trend

 

Trend	UP
Initiation Date	08-07-12
Initiated at	5336
High since change	5815
Reversal if closes below	5580

 

 

Open Positions 

 

Scrip	Type	Price	CMP	P/L
Nifty Nov Fut	Long	5792	5647	-7250
Nifty Nov 5800 PE	Buy	73	157	4200

 

Positions squared off 

 

Scrip	Buy Price	Sell Price	P/L
LT Nov 1650 PE	51	50	-250
LT Nov 1600 PE	28	24	1000
Total			750

 

Thought for the day 

 

A closed mind if closed long enough , can be opened by nothing short of dynamite.