Daily_Nifty_VP's View-11/04/13

LEADER POST for Thursday (11/04/13)

1.         Supports are at about 5549, 5482 and 5462 while resistances are at about 5562 and 5638. Five likely +WWs give about 5602, 5614 (once above 5543), 5642, 5672 (once above 5587) and 5712 (other +WWs with higher targets are not mentioned as of now). Two -WWs give about 5535 and 5522 (-WWs with much lower targets are not mentioned presently). A falling wedge BO can give 5743 unless nifty goes and remains below 5514. A Bullish flag can give higher level unless killed below 5513.

Nifty first fell but rose sharply to close above 5550, thereby giving some hope to bulls. But, overall bearishness is not over yet. However, a mild +ve div has appeared on weekly chart. Also, the daily candle is a green hammer, a possible bullish continuation sign. For continuation of uptrend, nifty must cross above 5650. Only global cues and/or liquidity (including from DIIs) can save nifty.

2.         PCR up at 0.88 and VIX down at 16.49. Pre-open data suggests a +ve nifty unless it goes below 5537.

3.         Target of first +ww met in the open.

4.         AS PER 9.30 STRATEGY, SELL ABOVE 5581NF, TARGET 5553, SL 5611.

5.         If SL is hit, buy below 5608NF, target 5637, SL 5578.

6.         If SL is hit, buy below 5608NF, target 5637, SL 5578.

7.         SL of 9.30 strategy trade hit after giving its target. Just like yesterday.

8.         SL of reverse trade also hit. Now short again.

9.         Nifty opened gap up but quickly reacted. However, it managed to make a higher high and low than those yesterday before closing -ve but above yesterday's close. The target of first +ww of the first post was met as also the target of 9.30 strategy trade. Then its SL was hit and then, instead of meeting target of reverse trade, SL of reverse trade was also hit. Daily candle is a hanging man.

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