Dated :- 08. 06. 2014

                                                               NIFTY SPOT : 7583.4

Hi,

Readers,

Nifty has given a breakout above upper end of the range of 7500.

Now Nifty has support at 7490 & resistance at 7670.

In my previous blog it was mentioned that 7370 and 7330 are very critical levels and break below these levels will make force Nifty to come down further.

Nifty touched 7360 & important point in that was that  Nifty touched this 7360-7370 level only for 5 minutes & gave a strong rebound from there.

This was clear indication that Nifty is taking support at 7370 & is in no mood to go below that. That strong buy signal given by Nifty made Nifty to go up more than 200 points in just two days.

What Now :-

Since the run up is so sharp it is recommended to book good profits here and trail only a small (very small)  long position with trailing stop loss of 7490.

Now Nifty has support at 7490 & resistance at 7670.

Below 7490 Nifty can go to 7400 – 7350 levels. Which will be duly updated on the blog if & as & when it happens.

Till then enjoy the profits.