NIFTY AMA

NIFTY AMA	RANGE
5 H – AMA	6715	6723
5 L - AMA	6656	6663
5 AMA	6701	6708
13 AMA	6666	6658
21 AMA	6670	6713
34 AMA	6535	6490
89 AMA	6412	6418
144 AMA	6380	6385

NIFTY BANDS :

SUPPORT :         6660 - 6670
RESISTANCE :   6710 - 6725


Nifty has surprisingly closed above the 13AMA and also above the lower band of the 21AMA. However, it has failed to close above the upper band of the 21AMA which is now at the 6713 mark.

The key thing here is to admit that we made an error and there is no shame in accepting a trade gone kaput. Although technically our short is still alive but Nifty moving up almost a 100 points from our average short level of 6600 and nearly closing above the key band of the 13 & 21AMA is a trade gone awry.

Nifty has been stretching it's limit for the past few trading sessions and it's quite clearly visible in the price action knocking repeatedly at the upper band of the 21AMA. However, we now need a confirmation and trigger to trade. If Nifty closes below the key band of the 13 & 21 AMA for the second time then that would signal a High probability reversal and a trigger to go Short. The stop would obviously be the any one of the bands. So in that way the stop would be very small and the rewards can be BIG. So now we have to wait patiently for our trigger.

Till then Nifty may continue to march upwards till it pleases so. 1st April is a RBI Policy day and some volatility is expected. Keep these crucial levels handy and plan the trade accordingly.



Trade as per levels.

Happy Trading !!!