Nifty -2011 Fibonacci analysis.

The Nifty closes  the year on a bearish note @ 4624 levels near the lows of the year (made on 20th December, 2011).

The Fibonacci level analysis for the year is shown on the chart. Reversal level for Nifty is above 4790 on closing basis weekly for the coming year. Below 4555, Nifty should gradually fall to 3545 levels (261.8% level). This scenario looks probable with depreciating currency, inflation, and governance issues. The new year 2012 begins on a weak note, but mid way through next year Nifty could make a turnaround if overall  bearish scenario is done with and real growth sets in. Happy New  Year to all the readers of my blog and have a great year end weekend and a great trading year in 2012 :)

Merry Christmas and Happy 2012 all :)

MERRY CHRISTMAS AND HAPPY NEW YEAR (2012) TO ALL READERS AND VISITORS OF MY BLOG. HAVE A GREAT HOLIDAY AND A PROSPEROUS TIME AHEAD!!!

Regards and best wishes

Vinod Kumar

Trade Plan - December 16, 2011

VWAP @ close is 4728. Nifty closes at 4746 after breaking below 4730 and taking U turn from 4674 levels.

1) The bias is still negative and intra day players will buy into Nifty only above 4765 for target of 4835+ above the 5-EMA levels.
2) Below 4675, next support levels are 4640-4590.
3) The RBI credit policy expected to be announced tomorrow is the trigger for our market. The slide of INR needs to be arrested and market will take direction accordingly. No investor will invest when currency market is unstable and credit is expensive coupled with inflation.
4) The bullish range for the next two weeks will be 4835-5135.
5) The bearish range will be below 4765, towards 4565.
4) This is my last post for this year 2011 and the bearish and bullish range levels are mentioned. I will resume posting my trade plans after the brief holiday time off I am taking. Merry X-mas. Happy 2012 in advance. Thank you.  Happy trading :)

Trade Plan - December 15, 2011

VWAP @ close is 4798. Nifty closes at 4763 with a negative bias.

1) The negative bias continues below 4865 and today also Nifty failed to cross 4840 on spot price. The reversal level remains 4865 on spot prices for bias to change to positive.
2) The lows of 4640 could be once again tested below 4730 now.
3) The link of my post of December 2nd is once again given for the Nifty long term view. The stage looks set for a new low below 4640 within this week itself. http://niftyintradaycalls-vk.blogspot.com/2011/12/trade-plan-december-5-2011.html   Happy trading :) 

Trade Plan - December 14, 2011

Nifty trades in the negative zone with gap down opening and range bound to recover with some short covering rally to end the day at 4800. VWAP @ close is 4780.

1) Views remain same as yesterday with reversal only above 4865 and Nifty moving towards 4935+ close.
2) Fresh lows can be expected if today's low of 4728 breaks towards 4690-4630.
3) Bias is negative and some change in the negative bias can only be expected after the RBI policy review this weekend. Happy trading :)

Trade Plan - December 13, 2011

Nifty trades below reversal level for the day 4935 waiting for IIP  numbers at support level of 4865 for the morning session. Post the announcement of IIP numbers and depreciating currency, Nifty tanks below 4865 to test 4755 levels. VWAP @ close is 4823. Nifty closes at 4865.

1) Reversal level remains 4865 for tomorrow if Nifty opens up gap up and short covering rally is induced by market makers.
2) Now below 4755 in case of gap down opening, support levels will be 4690-4635 for an intra day U-turn towards 4765.
3) Overall bias is negative and this is the third consecutive day below the 5-EMA level close. Happy trading :)

Trade Plan - December 12, 2011

Nifty closes in negative territory closer to crucial support level of 4865. VWAP @ close is 4889. Nifty closes at 4866.

1) The reversal level for Monday is 4935 on spot prices  for target of 5000-5065 and today Nifty has found support around 4840-4865 level and close around this support level.
2) Below 4865, next support level will be 4785-4700.
3) Nifty has closed below the 5-EMA level for the second consecutive day now. Happy weekend.  Happy trading :)

Trade Plan - December 9, 2011

Nifty opens gap down and below 5000 levels finds some support around 4935 to close around these levels today at 4944. VWAP @ close is 4991, which indicates that below 4991 the bulls have exited for now.

1) Next support levels will be 4865-4800-4765 below 4935 spot prices.
2) Bias will be negative below 5000 now as this is the level that is important from a longer time frame for this month too.
3) Any intra day bounce can be expected above 5000 level only now with short covering tomorrow.  Happy trading :)

Trade Plan - December 8, 2011

Nifty trades in positive territory throughout morning session making new high of 5099 for this move up and closes at 5062 for the day. VWAP is 5104.

1) The bias is still up but trading above 5100 only will bring in fresh buyers and the move up seems to be taking a pause in search of a reasonable bottom now.
2) Level of 5000 remains the reversal level with long positions intraday only above 5065 spot price for targets of 5110-5135.
3)Below 5000 support level, the next support levels remain 4935-4865. Happy trading :)

Trade Plan - December 7, 2011

Nifty trades within a range bound levels all day ahead of the holiday tomorrow and a flat close today @ 5039.  VWAP @ close is 5055 indicating the premium level is high and bias remains up after reversal from 4860 levels a couple of days back.

1) For Wednesday, after the Moharram holiday tomorrow, 5065+ is the level to go long for target of 5110-5135 on spot prices.
2) Nifty has managed support at 5000 today, but below 5000 spot the support will be around 4935/4860 levels for small bounce. Enjoy a holiday tomorrow and happy trading the day after :)

Trade Plan - December 5, 2011

The bulls on the rampage and Nifty closes near the highest point of the day @ 5050 and most of the shorts getting ejected out. VWAP @ close is 5022. A very strong closing to the week and this week is special in the sense that it completes 13 months from the high of 6338 and today's chart is the 13-month Nifty analysis using Fibonacci levels/projections.

1) Reversal level for Monday will be 5000 levels of Nifty  spot and Nifty will remain bullish above 5025 levels as it is trading above  all short term EMAs now. Next targets for longs will be 5085-5110-5135.
2) The current bullish momentum ahead of the Christmas festival season could take Nifty to as high as 5285-5320+ levels and global cues are bullish for this rally.
3) Below 5000, long positions are not safe and Nifty could  likely slide fast to 4935-4870 levels, as fast as it rose to these levels.
4) The chart of the past 13-months shows the important levels of Nifty highlighted and the bearish scenario in case global cues weaken and should the dreaded 3rd wave down of EW unfold over next four to five months.  Have a great weekend :) Happy trading :)

Trade Plan - December 2, 2011

Nifty opens with huge gap following very positive cues across the West and crosses 5K mark and settles to close @ 4937. VWAP @ close is 4980.  The trading band has now shifted to a higher gear of 4840-5000 now.

1) Nifty should consolidate around 4900 levels now and few days of volatile sessions can be expected. Longs only above 4970 of spot prices.
2) Support level is 4860 and Nifty could retrace the gap up zone and take U-turn from this level.
3) Below 4860, Nifty will be weak and levels of 4800-4750 will come into play. Happy trading :)

Trade Plan - December 1, 2011

Nifty trades in the lower end of the trading range with gap down opening in anticipation of GDP numbers and recovers to close at 4832. VWAP @ close is 4805. Nifty closes at 4832. Nifty enters the month of December with a close above 5-EMA/5-SMA level.

1) Fresh intra day longs only above 4860 for targets of 4900-4935-4970.
2) Below 4800, Nifty will be weak and good enough to test lower levels for range extension below the recent lows towards 4600-4530. Happy trading :)

Trade Plan - November 30, 2011

Nifty trades range bound after a good opening and trading mainly in the range of 4800-4860 levels. VWAP @ close is 4830 and Nifty closes the day above the 5-EMA level @ 4805.

1) Bias is positive for intra day only above 4860 for target of 4920-4970.
2) Below 4800, Nifty could fall well below today's low of 4787 to earlier lows of 4720-4640. Happy trading :)

Trade Plan - November 29, 2011

Nifty opens gap up above the 5-EMA/5-SMA levels which was the reversal point for today with positive global cues and sustains above this level to go past 4850 levels and closes @ 4851. VWAP @ close is 4828.

1) The bounce up above the 5-EMA level should now continue upward above 4860 to around 4920-4970 level. Reversal will be below 4800 level on spot prices.
2) Below 4800 level, Nifty might touch 4740-4680.
3) A close above 4920 tomorrow with continuation of this upward momentum will likely take Nifty to 5085 levels in a couple of days after some consolidation around the levels of 4900.  Happy trading :)

Trade Plan - November 28, 2011

Nifty trades in a range bound note and closes at 4710. VWAP @ close is  4735.

1) The week ends with the lowest weekly close of the year and bias remains bearish till Nifty does not now cross the fallen 5-EMA level of 4773 to close above 4830 and consolidate to cross 4870-4910 levels.
2) Below 4700, Nifty should test 4640 and below that 4590-4540.
3) Global cues and currency market point to a bearish scenario.  Happy weekend.  Happy trading :) 

Trade Plan - November 25, 2011

Nifty November series expires at 4756, the lowest series close of the year and testing lowest level on spot prices for the year, after taking support at yesterday's low once again and bouncing back on short covering rally. VWAP at close is 4691.

1) Bias is still negative a close above 4750-4800 zone is required over the next few sessions for fresh buying to come in. The volumes are not encouraging enough for bullishness to return coupled with the global cues.
2) Below 4700, the levels of 4640 and later 4590-4530 will likely be tested.
3) The chart uploaded today is a long term daily chart from August 2009 till date. Some sort of symmetry is in the making apparently of the trading range that seems to be developing on this chart and it looks quite interesting and no technicals involved in seeing this chart.  Happy trading :)

Trade Plan - November 24, 2011

Worsening currency rate situation and global cues make an ideal set up for Nifty to open gap down and continue its downward journey to close at the lowest level of 2011 today. VWAP at close is 4703.
Nifty closes @ 4706.

1) Nifty should hit newer lows in the coming sessions with worsening global cues and the rising volatility. Some support can be expected at 4530-4480 level.
2) Fresh buying will now come only if this trend gets halted and Nifty gets a close above 4750-4800 zone consecutively for 5-6 trading sessions. Happy trading :)

Trade Plan - November 23, 2011

Nifty apparently trades with positive bias and closes above yesterday's close, but needs to now overcome resistance at 4890 levels for bullishness to return. Obviously buyers will dry up below the year low of 4720 in a falling market and market makers will try to keep it in a trading zone for now. VWAP 4821. Nifty closes at 4812.

1) Reversal level remains 4830 for tomorrow too with resistance at 4890 to be overcome.
2) Below 4770, newer lows of the year will be made. With two days more to go for expiry of November series, volatility will be high and it is buy on dips and sell on rise mode for intra day players.
3) The level of 4890 is the 5-EMA level now too.  Happy trading :)

Trade Plan - November 22, 2011

Gap down opening and weak global cues and the currency market depreciating, nothing was positive for Nifty and kept sliding to close near the lows of the day at 4778. VWAP @ close is 4826.

1) Below 4830 on closing basis, Nifty will continue to be weak and now the final support level will be the low of the year 4720.
2) Below 4720, the next support levels will be 4690-4530-4590.
3) Three more days to go for November series expiry and a relief rally is probable only above 4830 on short covering. Happy trading :)

Trade Plan - November 21, 2011

Nifty trades in the support zone of 4830 to below the resistance level of 4935 on spot prices. It clearly shows the market is exhausted due to lack of volumes and consolidating around 4900 levels. VWAP @ close is 4887. Nifty closes at 4906.

1) Nifty is trading below all short term and long term EMAs and is weak. However, with expiry week beginning on Monday, the short sellers need to close/rollover their positions and a rally can likely happen towards 5050 above 4935-4950 range of spot prices only.
2) Below 4935, Nifty will once again visit 4850 or lower towards the lows of the year at 4720. Global cues will be important now as the earning season is out of the way. Market needs some positive news to infuse some energy into it and now clearly dependent on short covering rallies etc. Have a great weekend. Happy trading :)  

Trade Plan - November 18, 2011

Nifty tanks further below the support level of 5010 to test 4935 support zone which is also broken now and closes at 4919. VWAP @ close is 4994.

1) Nifty will try to recover from 4935 support zone tomorrow towards 4970-4990 purely based on short covering rally as the short sellers have remained dominant throughout this week and would initiate a short covering ahead of the expiry week.
2) Below 4935, Nifty has support @ 4880-4835. One can expect a highly volatile session tomorrow. It will take at least two to three sessions to consolidate around some support level for Nifty  and avoiding intra day trading, if not already short positionally, is the best option. Buying 5000 CE for the next series will be the appropriate hedge if positionally short now.   Happy trading :)

Trade Plan - November 17, 2011

Nifty swings wildly between 5K to 5035 levels and touches high of 5065 on spot prices. VWAP at close is 5036. Nifty closes at 5030 after swinging wildly in the later half of the day.

1) Reversal level of Nifty for intra day tomorrow is 5070 on spot prices for target of 5110-5150.
2) Below 5010, Nifty is weak and can fall to 4965-4935 levels.
3) A Fibonacci analysis on closing basis for the year 2011 is attached. Bullish view will hold only if Nifty is able to close above 5285 on closing basis weekly over the remaining 6 weeks of this year. A range bound level for Nifty could likely be 5000-5285 levels. A bearish range clearly will be below 5000 towards 4700-4500. Happy trading :)

Trade Plan - November 16, 2011

Nifty opens gap down and fails to sustain above 5150 spot prices and cracks below the support levels of 5110-5070 easily to close below 5070. VWAP @ close is 5128. Nifty closes at 5068.

1) The negative bias from Friday persists and now the level of 5185 and above is the reversal level for Nifty. Tomorrow will be an interesting session of Nifty as the momentum of sell off is gathering pace now and below 5050, next support level is 5010 and 4965.
2) Short covering rally is hope for a small intra day reversal from the support level of 5010 towards 5090+. Happy trading :)

Trade Plan - November 15, 2011

Nifty closes below support level of 5150. VWAP @ close is 5200. Nifty closes at 5148.

1) In spite of gap up opening Nifty goes down after failing to sustain above 5210 spot price and closes below support level of 5150 today. Reversal level will remain 5210 on spot price.
2) Below 5150, likely support levels 5110-5090-5070-5020. Happy trading :)

Trade Plan - November 14, 2011

Nifty opens gap down and trades range bound with support at around 5150 levels and remained range bound amidst negative global cues. VWAP @ close is 5189. Nifty closes at 5169. Also the lesser than expected IIP numbers kept traders away from a largely lackluster day of trading with negative sentiment on the weekend.

1) Support levels below 5150 are 5110-5070-5030.
2) Below 5210 on closing basis, Nifty will be bearish in the immediate short term and the level of 5210 on spot price will be reversal level on Monday. Happy weekend! Happy trading :)

Trade Plan - November 11, 2011

Nifty closes in the red after breaching the lower end of the narrowing trading range and the 5-EMA level of 5275. VWAP @ close is 5283. Nifty closes at 5221.

1) Reversal to bullish position will be only above 5265 when market opens after holiday tomorrow. Global cues are not supportive of bullish moves.
2) Below today's low of 5210, next support level is 5150 and 5110 on spot prices.
3) A gap down open on Friday can take Nifty to much lower support level of 5035 levels.  Happy trading :)

Trade Plan - November 9, 2011

Nifty opens on a flat note after the long weekend and trades range bound and the level of 5295 has become a resistance level intra day level. The support remains at 5265 level. VWAP @ close is 5304. Nifty closes at 5289.

1) View for tomorrow is to go long only above 5295 with reversal below 5265 levels. Targets will be 5345-5380.
2) Below 5265, support exists at 5200-5150 levels. Happy trading :) 

Trade Plan - November 8, 2011

Nifty goes into the long weekend on a flat note, closing  well above the 5-EMA level and having formed support at 5265 levels.  VWAP @ close is 5323. Nifty closes at 5284.

1) Views remain same for the coming week with longs now only above 5295 for targets of 5400-5450. Reversal level remains 5265 level. The 5-EMA level is 5267 and 5-SMA level is 5278 and Nifty has closed above both these levels.
2) Below 5265, levels of 5200-5150 likely.
3) Next week has only three trading sessions with two holidays (Nov 7th and Nov 10th) and gap up and gap down openings likely to be the trend on trading days. Happy weekend :) Happy trading :)

Trade Plan - November 4, 2011

Nifty trades negatively in the morning session once again to find support around 5200 levels and closes above the 5-EMA level @ 5265. VWAP @ close is 5262 and this level of 5260+ appears to be the balance price zone for Nifty.

1) The trading range of 5210-5310 has now shrunk to 5200-5282 on spot prices. More upside can be expected above 5295 spot price levels for targets of the 200-EMA/SMA level of 5335/5405 immediately.
2) Below 5265 (the newly developed balanced price level), Nifty can once again test 5200-5150.
3) Further tomorrow is the last trading day of the week ahead of the longish weekend with Monday being a holiday and the closing levels of tomorrow will decide the trend of Nifty for the week ahead.  Happy trading :) 

Trade Plan - November 3, 2011

Nifty trades the gap zone of 5210-5310 today and this zone should now get narrower over a couple of sessions and a break out above 5310 or breakdown below 5210 can be anticipated. VWAP @ close is around yesterday's levels at 5297 and Nifty closes flat at 5258 around the 5-EMA level.

1) The zone of 5210-5310 will be a trading range for intra day players and break out  above 5310 will be bullish for targets of 5400-5450.
2) Below 5210, look for support around 5190-5160 levels. Happy trading :)

Trade Plan - November 2, 2011

Negative global cues affects the momentum of Nifty and starting with gap down opening,  Nifty falls to close the gap up opening levels almost completely today breaching the 5-EMA level of 5254 and closing just above this level at 5258.  VWAP @ close is 5298.

1) Below the 5-EMA level now, Nifty will likely test the immediate support at 5210 below which 5160 is the next major support level.
2) Nifty will be strong only above 5270-5280 levels now for target of 5350-5410-5450.
3) Closing the week above the 200-EMA/SMA level of 5335/5406 are the immediate targets for Nifty. The overall bias remains up as long as Nifty manages to remain above the lower end of the gap up (5225) levels.  Happy trading :)

Trade Plan - November 1, 2011

Nifty had a range bound session and trying to consolidate around the 5336 levels which is the 200-EMA level. VWAP @ close is 5353. Nifty closes at 5327.

1) Now Nifty will aim to close above the 200-EMA/SMA level (5336/5407) and a couple of sessions could be range bound. Target above 5345 will be 5410-5450 for intra day tomorrow. Reversal level will be 5320.
2) Below 5320, Nifty will attempt to fill the gap up opening and fall towards 5270-5210.
3) Volatility has eased considerably and intra day moves will be best for scalping 15-20 points only above  5345-5365 levels. Happy trading :)

Trade Plan -October 31st, 2011

Nifty opens gap up at 5340 after a bullish close above 5200 on muhurat trading day and closes the gap down opening of August 5th with a gap up opening around same levels. VWAP @ close is 5380. Nifty closes at 5361.

1) Now the level of 5320 is reversal level towards filling the gap and on upside the level of 5380 and above will be bullish for targets of 5435-5495-5555.
2) Below 5320, levels of 5270-5210 are important support levels. Currently these two level supports or resistance has not been tested because of gap down and gap up opening as shown in the chart.
3) The volatility index has eased considerably now and a range bound trading range for November series could be 5110-5180-5250-5320-5390-5460-5555 with the level of 5320 acting like a mean level. Happy weekend.  Happy trading :) 

Reliance Industries - Update

With Nifty having had the highest close in over 50 trading sessions, an analysis of the index heavy weight RIL shows that with increased volumes RIL should reach 1000-1050. The level of 810 has formed the fulcrum of support and is now the reversal point with immediate resistance at around 900 levels. Happy trading :)

Trade Plan - October 26, 2011 & October 28th & 31st, 2011

Nifty traded range bound following the fall in Bank Nifty after the RBI policy announcement but later in the day was propped up by movement in index heavy weight stocks like RIL/LT/Infy to go past 5200 on spot prices and close at 5192. VWAP at close is 5136.

1) Tomorrow is muhurat trading session in the evening for  under an hour and Nifty will be trading above all short term and medium term averages (34-EMA/50 EMA/55 EMA) and the level of 5215 and above will be of interest for those going long for target of 5260-5330.
2) Below 5195, Nifty should find support at 5135.
3) Market reopens after the holidays on Friday (28th) and then followed by the weekend on Monday October 31st.  Wish you all a very happy and prosperous Diwali!  Good Luck!  Happy weekend. Happy trading :)

Trade Plan - October 25, 2011

Gap up opening and then fails to go past the high end of the range of past two weeks of 5150+. VWAP @ close is 5134. Nifty closes 5098.

1) The break out above 5150 only can now take Nifty higher on positional basis. For tomorrow 5110, level remains the reversal level once again.
2) Below 5070, levels of 5045-4995 will come into play.
3) Nifty close has been neutral ahead of the RBI policy announcement tomorrow and with the October series closing tomorrow due to festival holiday on Thursday could be volatile with wild swings either side of 5110. However, it must be kept in mind the volatility index has eased up a bit from last week.  Happy trading :) 

Trade Plan - October 24, 2011

Directionless market and weak below 5110 and closes above support level of  5045 level.  VWAP is 5093.  Nifty closes at 5050.

1) For Monday, now the level of 5070 will become reversal level for initiating intra day longs for target of 5110 and 5150. However, 5110 is a level that will now face resistance.
2) Below 5045, the support levels of 4995-4935 will be tested.
3) The October series expires on Tuesday 25th October and the narrowing trading range (5045-5130) break out should now happen above 5130 or below 5045 for this series.  Happy trading :) Happy weekend :)

Trade Plan - October 21, 2011

Nifty opens gap  down below 5-EMA level of 5087 and manages to find support around 5045 levels to finally close above the 5-EMA level. VWAP at close is 5069 indicating the important level of 5070 was the turning point later in the day. Nifty closes @ 5092 just above 5-EMA level but below the 5-SMA level.

1) The level of 5110 remains the reversal point for fresh longs once again for target of 5150-5225 for intraday traders.
2) Below 5070 spot price, today levels of 5045 offered support, and below this level 4980-4935 will be support levels.
3) Nifty has been broadly trading in the range of 5010-5150 on spot prices over the past many days and this range should resolve conclusively only with a close above 5150 close or 5000.  Happy trading :)

Trade Plan - October 20, 2011

Nifty closes @ 5139 levels after opening gap up above 5-EMA/SMA levels to gain momentum above 5110 in the last one hour above 5110 levels. VWAP @ close is 5120.

1) Intra day longs only above 5150 for targets of 5180-5195 where there will be stiff resistance as it will as pressure of October series expiry and rollover  to November series starts developing too.
2) Below 5110, the levels will be 5070-5030. Happy trading :)

Trade Plan - October 19, 2011

Gap down opening at 5050 levels and Nifty remained range bound without breaching 5K levels with negative bias and a day good for small scalping trades from 5025-5040. The first indication of weakness is Nifty opening below and not trading @ or above 5-EMA levels of 5074 throughout the day. VWAP @ close is 5037.

1) The bias will be positive only above the 5-EMA level tomorrow (fallen to 5062 today), confirmed with a close above 5110 level.
2) Below today's low of 5011, Nifty could likely test 4965-4925 support levels.
3) The Nifty daily chart reviewed for 10 weeks (50 days) duration and the gap down opening of August 5th  needs to be closed next for which Nifty needs to sustain and trade above 5090 and give a closing above 5195 in the coming week ahead of Diwali .  Below 5110, Nifty will remain bearish. Happy trading :)

Trade Plan - October 18, 2011

Gap up opening and a day of consolidation around 5110 levels. VWAP @ close is 5118. Nifty closes @ 5117.

1) The trend will be bullish above 5135 only for targets of 5175-5240. Reversal level remains below 5110 only.
2) Below 5110, level of 5080 tested today and below this level 5045 is next major support. Happy trading :)

Trade Plan - October 17, 2011

Nifty closes the week  @ 5132 after opening in negative territory in the morning but managing to regain strength above 5070-5110 support/resistance level. VWAP at close is 5113.

1) The trend for short term ahead is bullish with the results of RIL expected to be good and Nifty now looks poised to be aiming to go past 5180-5230 levels.
2) Below 5110, Nifty will be weak and support levels of 5070 will once again be crucial.
3) The volatility is getting stabilized now and now intra day moves will be smaller moves of 20-30 points maximum.  Happy weekend :)  Happy trading :)

Trade Plan - October 14, 2011

Nifty opens gap up to find selling pressure at highs and below 5110 level traded mostly in a small band of 5070-5100 range to close flat near the lows of the day @ 5078. VWAP @ close is 5100.

1) Nifty is trading above all short term EMAs and SMAs and bias can be termed as still up above 5055.
2) Nifty needs to trade above 5110 level to move towards a strong close of 5180+ tomorrow on the weekend.
3) Below 5055, levels of 5000 and 4950 will be support levels. Happy trading :)

Trade Plan - October 13, 2011

Nifty moves up buoyed by the good results of Infosys and closes @ 5099 after swinging to a high just below 5110 on spot prices. VWAP @ close is 5056.

1) Now the level below 5075 is intra day reversal zone tomorrow. Above 5110, the target of 5150-5190-5230 opens up.
2) Below 5075, the level of 5030-4990 could be tested should massive profit booking set in. Today's rally is mostly due to the short covering rally and a couple of sessions of consolidation around 5110 likely to happen.
3) The second chart is the Fibonacci retracement analysis taking last swing high and low of 5740 and 4720 level. Here too the level of 5110 assumes significance as it is 38.2% retracement level.  Happy trading :)

Trade Plan - October 12, 2011

Gap up opening and then trading with downward bias below 5045 to find support around 4965-4980 levels. VWAP @ close is 5014.  Nifty closes at 4974.

1) The trend will continue to be up above 4980 only for targets of 5045-5110-5175.
2) Below 4980, weakness will be more pronounced and support levels will be 4935-4865.
3) The quarterly earning results of Infosys tomorrow will have an impact on the index tomorrow. Today's flat close is a cautious close ahead of the result of the index heavy weight Infy.  Happy trading :)