Dated :- 13.03. 2016                                 NIFTY SPOT : 7510.20

Hi,

Readers,

Nifty moved exactly as was expected. It was mentioned in my previous blog dated March 07, 2016 when Nifty was at 7485 that let the Nifty settle down after mammoth rally. Nifty moved in small range of just 125 points between 7424 to 7540 throughout the last week and stayed there only.

Now What :-

Nifty is in a contraction zone/range of say 7400 to 7550.

This contraction is going to be end soon and in coming days we can expect around 150-200 points move either side from current levels of 7510. Obviously move above or below the contraction range is required for that.

Overall I still maintain that on my charts 7608 to 7823 is expected to act as major resistance area and major tussle area. That area will be the real test of this movement of Nifty. Till that area is not taken out comprehensively I do not expect Nifty to stand up. In the coming week if in case Nifty enters deep into this resistance zone mentioned above one can also look for shorting possibilities.

Trade accordingly.