protrader1969

NIFTY for 3rd January

NSE:NIFTY   Nifty 50 Index
In exact contrast with yesterday when levels I wrote about were honoured, today both the indices broke the prescribed levels and triggered stop-losses. What a face-off! Such was the ferocity of rise that Nifty created a bullish engulfing candle overshooting highs made during last 3 days and stopped just 4 points short of its life time high. Please check my video posted on youtube under channel name Market Movers India for slightly more analytical content. Both FIIs and DIIs were Net buyers today and it seems Nifty will keep making new highs just on the basis of grand announcements by finance ministry!
Option chain data show that 12200 is solid support and 12300 is quite decent resistance. There is a possibility that nifty does cross 12300, and then come down a bit since it will be making a new lifetime high then. As for levels, I found one buying area and one support on the 15 min chart. I would take a buy call at support since the buying area is quite near CMP and after such a massive rise a small fall is quite possible tomorrow.
All the best. Happy trading.