Friday, July 29, 2011

Trade Plan - August 1, 2011




Negative sentiments prevail in the market and Nifty closes the month of July below 5500 level. VWAP at close is 5493. Nifty closes flat at 5482.

1) Nifty continues to remain weak below 5555 levels on spot prices and this level remains the reversal level for Nifty for the month of August.
2) Below 5495 and end of earnings season with not so good results of heavy weights, Nifty likely to be in for some deeper falls through August series. The levels to look for in August series on downside is 5395-5265-5110.
3) Nifty has closed this month below the 20 month moving average of around 5491 and this is first indication of deep fall and it is short on rise mode for a trader with 5555 as the strict stop loss or reversal level. How Nifty begins August will be important on Monday above or below 5555 or below 5495. It is  wait and watch till Monday.  Happy weekend! Happy trading :)

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