Trade Plan - May 2, 2011

Nifty closes the week near the lows of the month @ 5750. VWAP @ close is 5773. Nifty begins the May series at near the lows of April and well below the 5-EMA level.

1) The 5-EMA level at close today is 5801.  Nifty did recover from the lows to close above the 200-SMA level of 5746 today and trading above 5765 and crossing 5800 level with short covering rally can take Nifty up to 5825-5865 on Monday.
2) Now if support of 5725 is breached, then down side target will be 5680-5650 on spot prices.
3) The level of 5765 on spot prices is reversal point for Nifty on Monday.  Happy trading! Happy weekend!

Trade Plan - April 29, 2011

Nifty closes at the lower end of the trading range for the series of April. VWAP @ close is 5808. Nifty closes at  5785.

1) Nifty closed below 5-EMA yesterday and was slightly bearish ahead of expiry day of April series. Today's close is second consecutive day of closing below the 5-EMA level. The 5-EMA level has now fallen to 5825 @ EOD today and this level will be reversal level if Nifty regains momentum intra day above this level tomorrow.
2) Otherwise, Nifty is weak and should now test 5750-5700 levels if downward momentum continues.
3) The probable level at which Nifty could take U-turn is above 5720 if market supports this level and changes direction. Happy trading!

Trade Plan - April 28, 2011

Nifty closes at 5834 with a range bound trading session within the range of yesterday. Volumes were low and this ensured range bound session. VWAP @ close is 5857.

1) The range bound sessions over the past two days has ensured Nifty is now exactly at the levels when April series opened at 5834 and tomorrow could be a volatile session to get a close above 5950 or 5750 on last day of expiry of the April series.
2) The 5-EMA is now 5847 @ EOD today and trades on either side of  5847 can fetch 50 points on Nifty tomorrow.  Happy trading!

Trade Plan - April 27, 2011

Nifty had a negative trading session below 5-EMA level of 5847 and took U-turn from 5791 levels to close above the 5-EMA level @ 5868. VWAP @ close is 5840.

1) Views remain same as yesterday for intra day, long above 5896 on spot prices for target of 5945-6000.
2) Today Nifty has traded below the 5-EMA level of 5847, to take support at 5791 and make U-turn towards 5895 but fails to cross 5896 levels to signify reversal. Now the 5-EMA level at close today is 5854 and this level will be the break down point for Nifty tomorrow if Nifty fails to sustain above 5896 levels for higher targets.
3) With just two more sessions before expiry of April series, a range of 5750-5950 can be expected with high volatility like today.  Happy trading!

Trade Plan - April 26, 2011

A lack lustre trading session following muted earning numbers of RIL on Thursday after market hours and Nifty opened gap down and failed to surpass the Thursday high of 5913 but remained flattish trading around 5880 levels the whole day. VWAP @ close is 5900 and Nifty closes at 5874 and very close to breaching the 5-EMA level tomorrow if fails to trade above 5870 levels tomorrow.

1) The 5-EMA level @ EOD today is 5847 and Nifty needs to trade gap up or flat above today's close for momentum to continue for target of 5945-6000.
2) Below 5850 levels, Nifty can fall to 5790-5730 levels.
3) This is expiry week and any close above 5950 in April series will be bullish and expiry of April of series below 5850 will be bearish for the May series. Happy trading!

Trade Plan - April 25, 2011

Nifty opens gap up and remains range bound and closes at the opening level range with a high of 5913 with support at important level of 5865.  VWAP @ close is 5903. Nifty closes at 5885.

1) Nifty trades well above 5-EMA without much volatility today and finds support at important level of 5865. Nifty spot remaining above 5945 is important for long positions with target for 6020-6085 levels.
2) Below 5865, Nifty will fall back to 5830-5790 levels.
3)With the long weekend with tomorrow being a holiday on account of Good Friday, Nifty has consolidated today above the 5 EMA level which comes at 5834  after today's close. Happy trading! Happy weekend!

Trade Plan - April 21, 2011

Nifty opens at 5-EMA level of 5786 gap up and sustains above it for a major portion of the day and closes near day high @ 5852. VWAP @ close is 5824.

1) Nifty needs to trade above 5825 consistently tomorrow for attempting to reach target of 5885-5925. So, the level of 5825 kind be used as a reversal level for intra day to exit long positions.
2) Below 5820, Nifty will be weak and can slide to touch 5770-5730 once again.
3) The 5-EMA has risen to 5808 now at EOD today. Happy trading!

Trade Plan - April 20, 2011

Nifty breaks 5700 levels to test 5693 low but later tries hard to remain above 200-SMA level of 5725 and finds support with the support of banking stocks to close above this important technical level.  VWAP @ close is 5744. Nifty closes @ 5741.
1) The level of 5768 will be a reversal level for positional shorts in Nifty tomorrow and above this level on spot prices, Nifty can climb above the 5-EMA level of 5786 to touch 5800-5835.
2) Failure to sustain above 5725, Nifty can fall to 5680-5630.
3) The 5-EMA level at close today is 5786. Happy trading!

Trade Plan - April 19, 2011

Nifty fails to sustain above the 5-EMA after touching high of 5897 and crashes to close near the lows of the day @ 5729. VWAP @ close is 5813.

1) Nifty has closed below 5-EMA for the second consecutive day now and well below it also. Next target for Nifty on down side is 5680-5650. Reversal for Nifty will be above 5792 now.
2) Now the 200-EMA is around 5620 levels and support at this level will be closely watched.
3) The negative sentiment still persists in the market after Infy results. This will continue till some other index trusted heavy weight like HDFC, RIL, TCS, comes up with better earning numbers in the result season.  The 5-EMA level is now 5809. Happy trading!

Trade Plan - April 18, 2011

Nifty trades below Wednesday closing price mainly due to negative sentiments with heavy weight Infosys earning numbers for the quarter and the market barely managed to stay above the 5-EMA level of 5860 with the disappointment in market with Infy results.  VWAP @ close is 5861. Nifty closes at 5825.

1) The bias has turned negative once again and today's close @ 5825 is much below the expected safe level of 5930 levels to trade with. Now the level to watch on Monday is 5855.
2) Below 5850, we are likely to see 5790-5680 levels.
3) The 5-EMA level at close today is 5849. Happy weekend.  Happy trading!!! 

Trade Plan - April 15, 2011

Nifty recovers after gap down opening with low of 5735 on the back of short covering rally to retrace the entire fall from 5910 levels. VWAP @ close is 5867. Nifty closes near the highs of the day at 5911.

1) Nifty recovery was dramatic above 5760 levels and later sustained above the 5-EMA level to close near the highs. Now long position for intra day only above 5910 with reversal level at 5880 on spot prices for targets of 5965-6025.
2) Below 5880, Nifty should test 5850-5825. The 5-EMA at EOD today is 5861 and having closed above 5-EMA the bullish scenario should persist intra day on Friday when the market opens after the holiday tomorrow. Happy trading!

Trade Plan - April 13, 2011

Nifty cracks further trading below 5-EMA level today and closing near the lows of the day @ 5786. VWAP @ close is 5818.

1) Reversal level for Nifty for intra day is 5826 and trading above 5840 for target of 5885-5920.
2) Below 5780-5790, Nifty should test 5735-5680.
3) The 5-DEMA level is 5835 now. With tomorrow being a holiday and one more holiday on April 14th, traders will not risk by taking long positions in the market and the cautious optimism continues ahead of the  result season of the index heavy weight. Next week should see more action, volume wise, price wise. Happy Ram Navami! Happy trading!

Trade Plan - April 11, 2011

Nifty closes below the 5-DEMA level today after trading below this level for most part of the day after the gap up opening. VWAP @ close is 5868 and Nifty closes at 5842.

1) After 10 straight sessions of closing above 5-DEMA, Nifty closes below 5-DEMA and the bias turns negative for the short term. However, the 5-DEMA level falls to 5860 today and on Monday this level assumes importance for intra day purpose. Above 5860, 5900-5950 will be the targets for Monday.
2) The result season begins next week and the closing of Nifty @ 5842 is with cautious optimism as market makers get cues from the result of heavy weight Infy to set the tone for the market which could happen on Monday when result season starts and if results of Infy are encouraging.
3) With a close below 5865, and already having touched a low of 5822 today, Nifty if remains negative on Monday could fall to 5790-5765 on Monday. Have a great weekend! Happy trading!

Trade Plan - April 8, 2011

Another quiet and flat day of trade with a lower closing value from yesterday but without breaking the 5-EMA level of 5861. VWAP @ close is 5903. Nifty closes at 5886.

1) Nifty has held on to the 5865 support level of yesterday today also and traded flat. Now 5-EMA has risen to 5869 at EOD today and it will be sell mode if Nifty closes the week below 5868 tomorrow. Above 5910, 5950-6020 still remain the target for going long.
2) Below 5865, Nifty should fall to 5790-5735 as now the 5-DEMA level is 5869 and breach of this level will invite short sellers into the market with fresh positions.
3) The fertilizer stocks and real estate stocks like DLF and Unitech has seen lot of action today and needs to be watched over the next few trading days.  Happy trading!

Trade Plan - April 7, 2011

Nifty opens flat and goes to make new high of 5944 in opening hour trades and falls later to get support at 5865 levels on spot price and recovers slightly to close below 5900 with negative bias. VWAP @ close is 5918. Nifty closes at 5891.75.

1) Reversal level will be 5925 tomorrow intra day for targets of 5965-6020.
2) Below 5865, next target will be 5820-5790.
3) The 5-EMA level has risen to 5861 and break of this level will create lot of shorts in the system positionally. Happy trading!

Trade Plan - April 6, 2011

Nifty traded below 5900 after the gap up opening and found support around 5860 levels to again recover and close above 5900 in the last hour of trade. VWAP @ close is 5911. Nifty closes flat @ 5910.

1) Views remain unchanged. Target above 5950 is 6000-6020 on closing basis. Reversal level remains 5900 now.
2) Below 5900, 5850-5800 levels can be seen.
3) The 5-day EMA has risen up to 5845. Happy trading!

Trade Plan - April 5, 2011

A strong start to the week with Nifty consolidating around 5835 levels and going on to cross 5900 levels on spot without any hassles. VWAP @ close is 5908 indicating some fresh buying has started above 5900 levels. Nifty closes at 5908.

1) The up trend continues and for intra day the level of 5890-5900 will be very crucial reversal points for long trades. Target for longs will be 5950-5965-6000.
2) Below 5890, the level of 5835-5790-5750 will come in to play.
3) The 5-EMA level has risen fast with this almost 10% rise of the index to 5813. Happy trading! 

Trade Plan - April 4, 2011

A quiet range bound weekend Friday trading and the week ends with Nifty closing @ 5826 and trading within yesterday's range. VWAP @ close is 5858.

1) For Monday, the level of 5835 must be held throughout the day for any substantial move towards targets of 5825-5965. This scenario could play out with a gap up opening above today's high of 5860 and sustaining above this level.
2) Below 5835, the level of 5790-5750 will be the likely support areas for intra day.
3) The 5-EMA level @ EOD today is 5764. Amongst the few stocks mentioned yesterday Reliance Capital has taken off and ends the day today with 5% gain.  Happy weekend! Happy trading!