Daily_Nifty_VP's View-01/02/13

LEADER POST for Friday (01/02/13)

1.         Supports are at about 6028, 6020/16 and 5981 while resistances are at about 6040/44/49, 6080, 6118 and 6145. The previous low level to watch is 5990. Five likely +WWs give about 6063 (once above 6039), 6079/6094/6107 (once above 6041), 6125 and 6138 (other +WWs with higher targets are not mentioned as of now). Two likely -WWs give about 6001 and 5981 (other -WWs with much lower targets are not mentioned presently).

Nifty reacted and barely managed to close above the crucial level of 6030 and is now showing signs of weakness (distribution). Nifty is now nearer to the bottom of the range 5990-6100. Unless it closes above 6100, bulls don't have hopes and if it closes below 6000, it may slide down further. I also feel that volatility will increase in February.

2.         PCR down at 0.9 and VIX at 14.13. Pre-open data seems to suggest that the 10tf candle is a doji, which shows uncertainty. Nifty may close +ve, after a slight gap up open, if it remains above 6045.

3.         AS PER 9.30 STRATEGY, SELL ABOVE 6057NF, TARGET 6023 AND SL 6087.

4.         A bearish flag gives 5993.

5.         Target of first -ww met.

6.         Nifty opened flat and started going down soon after, making a lower high and a low (new low since 15 Jan) than those yesterday before closing -ve and also below yesterday's close. The target of first -ww of the first post as also that of a bearish flag identified during the day were met. But the targets of second -ww and 9.30 strategy trade were just missed.

The intraday chart of nifty spot values with 5 min candles is shown below.