Nifty has been moving into corrective structure & within a channel. Yesterday-it was an excellent upside move for the Nifty as it sustained above 8200-8210 zone, which was resistance & suggested that this rally could extend to 8300-8350 zone.
Since 8250 which was key resistance yesterday has been taken out so likely it has opened for upside & this room extends till 8335-8350 minimum & overshoot by another 40-50 odd points till 8380-8400 zone which is top end of the channel.
We shall wait for a pullback in the zone 8200-8210 with key level-8175 (minus 5 ticks = 8170) protected downside- we will look for a target of 8330-8350 initially.
This pullback shall be a buying opportunity -taking care of 8170 as strict stops as going below 8170 will indicate that sellers have come back again, but one should not hurry in selling & do so once you get a bounce after taking out 8170.
Magic of RBI Day
Previous Analysis- This update had selling opportunity at top@8190-RBI Day-later as we moved forward -suggested 8050-8060 is important support so Market respected & moved upside
Related Analysis Attached Below
Awesome -Nifty drops 70-80 odd points as expected on 9th Dec2016- Shall look for the 8200-8210 as the pullback zone.
This morning session has fulfilled the pullback to 8195- Day's Low as shown in the chart.
Now, Holding 8170 -8175 as strong support downside- someone who was short or took sell they would be in the driver's seat to put stops below 8170 for targets close to 8330-8350 zone. Enjoy the session & trading day- Trade with care--leaving for the day.
Price took the stop of 8170 - sometimes we lose & I don't shy in it as -it will be a part of the game - well before hitting stop - nifty did move down to 8200-8210 from 8260-8270 from Friday highs so likely making small gain left in complete transaction.
I was busy today -so could not monitor otherwise I would have avoided this buying if at all someone has done- looking at market structure on a short term basis.
We have 8150 as very strong support & channel below should not be breached for any bulls who is looking for 8330-8350 zone.
Let me just come back - shall post before the market opens tomorrow.
Thanks for your support.
Below link is mentioned in signature for Indian chat room as it got merged with global chat group-which has puzzled many of them to locate.
Any long calls should be taken above 8200 only - it should hold above that level or wait for the channel bottom between 8125-8135 -if holds then long could be taken
Selling can be taken only below 8125 for targets 8080-8085 --Between 8075 & 8050 it is no trading zone -going below 8050 -it opens further downside.
Day's High@8229 is a resistance for the day- Likely I will say book profits & shall see tomorrow & those who can take risk of holding with 8150 they only carry their trades.
Abhishek H. Singh, CMT
Growth Director - TradingView India
YouTube Channel https://www.youtube.com/channel/UCYcnYveYBNLD-Qp54hvZogw