Daily_Nifty_VP's View-12/07/13

LEADER POST for Friday (12/07/13)

1.         Due to failure of the chart website, I am unable to post support or resistance levels. Two +WWs can give about 6010 and 6045 (+WWs with higher targets are not mentioned as of now). A -ww can give 5680 once below 5951 (-WWs with lower targets are not mentioned presently). A weekly bearish flag can give a much lower level unless it gets killed above about 6012. A daily bullish flag can give a much higher level unless it gets killed below about 5700.

Nifty rose sharply even after a gap up opening and closed above not just 200 sma but 50 sma as well giving short term bullish tone. A close below about 5870 can start a downward reaction again. Oil price and INR will remain key to the future of Indian markets in the short term. VIX and PCR are expected to remain high and can cause sharp swings. Only global cues and/or liquidity can take nifty further up.

2.         PCR up at 1.22 and VIX down at 18.89. Pre-open data suggests a -ve nifty after a gap up open unless it remains above 6000 by afternoon.

3.         AS PER 9.30 STRATEGY, SELL ABOVE 6027NF, TARGET 5959, SL 6057.

4.         Target met without getting chance of an entry.

5.         Target of first +ww met.

6.         Once again nifty opened up with a gap but reacted immediately. However, it still made a higher high and low (in fact today's low was higher than yesterday's high too) than those yesterday before closing marginally +ve and also above yesterday's close. The target of first +ww of the first post was met as also that of 9.30 strategy but without giving chance of an entry. The daily candle is a hanging man.

The intraday chart of nifty fut values with 5 min candles is shown below. Also shown below is a nifty spot chart for this week in 5tf.