Bounce back ??

Nifty has formed 'hammer' candle stick formation in weekly chart . It has also taken support at 20 WMA . Nifty is likely to bounce back from current level . If it closes above 8300 then there are greater chances that it will reach 8400-8450-8500 and above . So Once it closes above 8300 buy next month 8400 call option . Finally as per the chart formation Nifty can create new high in coming days .

 

Nifty weekly chart

After reaching the resistance zone Nifty has made  a sharp decline . This decline is expected to continue till 8100. So continue to hold put options / short positions with trailing sl .

LT Weekly chart

LT has closed below 20 WMA which is a bearish sign . It is likely to fall another  25-50 rs .