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!