LEADER POST for
Thursday (31/10/13)
1. Supports are closely spaced at about
6234, 6210, 6192, 6160, 6135 and 6115 while resistances are closely spaced at
about 6275, 6295, 6310 and 6330. Two +WWs can give about 6304 and 6335 (+WWs
with higher targets are not mentioned as of now). Three -WWs can give about
6237 (once below 6271), 6213 (once below 6254) and 6194 (once below 6226) (-WWs
with lower targets are not mentioned as of now). Break down of a few rising
wedges/channels can give about 6030/5880/ 5825/5700 if nifty goes down again. A
bullish flag can give higher levels unless killed below 6150.
Nifty rose again to close above 6250 at a new high since 10/11/10 and
promises higher levels. However, daily candle is an evening star and nifty will
have to close +ve, particularly with a gap up open to defeat its bearish
implication. There is also a slight -ve div on daily chart. If nifty closes
above 6285, it may head towards an all time high. If it closes below 6130, it
may fall much more. Oil price and/or INR can play spoilsport any time and will
remain key to the future of Indian markets in short to medium term. VIX can
cause sharp swings. Only global/local cues and/or liquidity can take nifty
further up. FOMC data from US will have its effect on Friday. Trade carefully,
this being an expiry day.
2. Pre-open data suggests a +ve nifty
after a small gap down open unless it remains below 6237 by afternoon.
3. AS PER 9.30 STRATEGY, BUY BELOW 6250NF,
TARGET 6284, SL 6220.
4. Target of 9.30 strategy met.
5. Target of first +ww met.
October month’s
chart suggests that further rise is likely but nifty may be tiring out and may
take a breather for consolidation.
The intraday and
month’s charts of nifty spot values with 5 min candles are shown below.
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