Tuesday, January 25, 2011

Trade Plan - January 27, 2011


Highly volatile session once 5757 was breached @ 1:30 pm and Nifty tanked to 5680 level and closes @ 5687. Nifty touched 5802 in the morning session and it was equally good intra day trade for longs and shorts above and below 5757 levels. VWAP @ close is 5740.

1) Tomorrow is a holiday and Nifty January series expires on January 27, 2011. The level to watch on January 27th is 5660 level. The 200-DEMA level has held well so far and it needs to be seen whether Nifty will take U-turn from that level to close the January series near to today's VWAP.
2) Break of 5650 levels will take Nifty to 5600 levels.
3) Nifty closes below the 5-DEMA level and is bearish. The 5-DEMA level at today's close is 5709.  Happy Republic Day! Happy trading!

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