NIFTY AMA

NIFTY AMA	RANGE
5 H – AMA	6355	6357
5 L - AMA	6285	6206
5 AMA	6338	6335
13 AMA	6287	6299
21 AMA	6190	6145
34 AMA	6150	6110
89 AMA	6273	6350
144 AMA	6205	6173

NIFTY BANDS :

SUPPORT :         6287 - 6299
RESISTANCE :   6350 - 6360


In our last post we mentioned that our bias continues to be mildly positive as long as the 13AMA is intact and not broken by Nifty. Bang On !!!

Nifty obliged by continuing to inch up and is now within striking distance of it's all time highs. We have been maintaining our positive bias right from 6050 levels when the change in trend was hinted by our AMA table and we have been riding on it ever since. This is the sheer brilliance of this simple & yet highly effective table and contrary to most of the analysts, traders and people out there who have been shorting at each Fibo level during this rise.

Having said that, Nifty has now arrived at a crucial juncture. The AMA table shows resistance at the 6350 - 6360 band where the 5AMA's and the upper band of the 144AMA sit tight. Support comes in from the 13AMA which is at the 6290 - 6300 band. Keep in mind that the 13AMA is in rising mode and will rise with each passing session. Therefore, if Nifty has to breakout above the wall of 6350 then it has to be soon in a couple of days before time runs out and it falls below the 13AMA due to lack of momentum.

A break below the 13AMA will be the first cautionary signal and a move below 6270 which is the lower band of the 144AMA will add credence to the caution. Therefore, one can choose to exit longs either on break of 13AMA or 6270 as per one's preference.

If Nifty manages to break below 6270 then we will go Short.

Till then enjoy the longs.


Trade as per levels.

Happy Trading !!!