Dated :- 29. 06. 2014

                                                             NIFTY SPOT : 7508

 Hi,

Readers,

Nifty is still standing at around 7500 level.

In my previous blog dated June 26, 2014(Thursday) night  it was mentioned that this time probability of Nifty breaking below 7490 support is high. Which proved right also.

Nifty on June 27, 2014 (Friday) opened higher and went up, to make a high of 7537 and came down from there. Nifty did actually broke that level of 7490 and made a low of 7482 during the day. Those who would have shorted the Nifty on the basis of my previous blog would have made money.

But Nifty somehow even after breaking below 7490 did not given substantial breakdown, which was expected, and close above 7500. This is a sign of caution for bears. Because now June 27^th (Friday’s) resilience of Nifty of not breaking down comprehensively even after giving breakdown below 7490 enhances the importance of 7480 level.

 It is recommended that from now on do not sell Nifty until and unless that 7480 level is broken i.e. the level of 7490 has now shifted down to 7480 and importance remains the same.

If this 7480 now is not broken comprehensively than Nifty can again try to rebound.

Be cautious and look to sell only and only if 7480 is broken comprehensively that too with tight stop loss of only 40 to 50 points. If this 7480 is not broken than expect a rebound in Nifty & that rebound can be sharp.

Nifty structure requires close below 7480 for fresh breakdown. But sell trade can be taken during intraday below 7480 with small stoploss. Because now this 7480 when breaks cumulative and aggressive selling should come.

Trade accordingly.