NIFTY AMA

NIFTY AMA	RANGE
5 H – AMA	6362	6387
5 L - AMA	6307	6330
5 AMA	6322	6350
13 AMA	6307	6320
21 AMA	6240	6193
34 AMA	6261	6255
89 AMA	6106	6016
144 AMA	6046	5965

NIFTY BANDS :

SUPPORT :         6190 - 6240
RESISTANCE :   6255 - 6260


Nifty not only lost momentum it also broke below the 13 & 34 AMA thereby making the first dent in this rally and changing our stance from Buy on Dips to Sell on Rallies. The same was mentioned in yesterday's post.

For the second stage confirmation, we need Nifty to break below the 21AMA which is the closest support and give us an additional day of closing below the 34AMA. For now, Nifty is sandwiched between the 21 & 34 AMA. If Nifty does hold onto the 21AMA as support and rallies past the 34AMA then we would need to switch gears with the 34AMA as the SAR. Thus the 6255 - 6260 should be keenly watched for tomorrow.  However, if the 21AMA breaks then its absolute confirmation for trend reversal and shorts should be held onto.

Tomorrow would be crucial as it is weekly closing and it would provide us clues to whether the 21AMA holds or no.


Trade as per levels.

Happy Trading !!!