Daily_Nifty_VP's View-11/11/13

LEADER POST for Monday (11/11/13)

1.         Supports are at about 6100, 6079 and 6030 while resistances are at about 6150, 6250 and 6300. Two +WWs can give about 6165 (once above 6121) and 6311 (once above 6200) (+WWs with higher targets are not mentioned as of now). Two -WWs can give about 6099 and 6052 (-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 remains below 6170. BO of two falling wedges can give 6200/6340 if nifty remains above 6130.

Nifty fell again and closed below 6150 and looks bearish. Weekly candle is an inside bar, which can imply big move on either side. A close below 6079 may result in a bigger fall. Oil price and/or INR can continue to play spoilsport 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.

2.         Pre-open data suggests an uncertain to -ve nifty after a gap down open unless it remains above 6111 by afternoon.

3.         AS PER 9.30 STRATEGY, SELL ABOVE 6130NF, TARGET 6101, SL 6160.

4.         If SL is hit, buy below 6163NF, target 6193, SL 6133.

5.         SL is hit.

6.         As expected SL of reverse trade also hit.

7.         Target of first -ww was met in the open itself.

8.         SL hit once again.

9.         SL hit for the fourth time.

10.       Nifty opened down with a gap and made a lower high and low than on Friday before closing -ve and also below Friday's close. Target of first -ww of the first post was met. However, SL of 9.30 strategy was hit 4 times on either side but target on neither side was met, though it was once missed on upper side by a narrow margin.

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