Dated :- 01.05. 2017                                 NIFTY SPOT : 9304.05

 Hi readers,

Nifty has made a full body Green Candle in the previous week.

We were expecting full body candle in the Nifty in the previous week and it was advised to hold the balance short positions with the trailing stop loss of 9222.

Readers were also cautioned that the full body candle can be green also which can force Nifty to cross 9222 and thus force the readers to exit the short positions.

We held the part short positions because we had already done the trade management and the trailing stop loss was nothing to the readers as they had already booked the part profit, thus the complete trade was closed with no profit no loss or in negligible profit.

Now What -

Now Nifty has moved above 9222 and has given bullish breakout.

See, in the technical analysis we have to understand and accept what the charts are saying.

Breaking above 9222 and then above 9245 was an important event and should not be taken lightly.

Breakout is a breakout and has to be traded by going long.

This is an important juncture in Nifty movement.

Bullish breakout is sustaining in Nifty.

Then what should be the strategy in Nifty.

Simple go long.

Charts of Nifty is saying that one should not go Short in Nifty till it is above 9180 and at least till it is above 9220.

Even if this breakout happens to be false breakout, the chances of which are less till now. Even then what is at stake it is only about 100 points in Nifty.

Thus the strategy is to trade long in Nifty with this bullish breakout with the stop loss of 9180 and If Nifty goes and stay below 9180 then below 9180 there is a selling opportunity with the stop loss of 9270 closing basis.

That is till Nifty is above 9180 play long and go long for higher targets of 9380, 9434 and 9492. And when Nifty goes and stays below 9180 go Short in Nifty with the stop loss of 9270 for lower targets.

The pattern Nifty is in, it is more likely, that, the pattern will keep Nifty at these elevated levels and keep moving higher.

This type of pattern can only be violated by strong gap down move in Nifty on any given day. Thus readers should also keep in mind and be on their toes for any sudden gap down move.

OR

Second possibility of very fast down move in Nifty of around or more than 70 to 80 points in the first hour of any day.

Which will be an advance indication to close the long position and rather will be giving possibility to go short even before  waiting till 9180 which will be decided as per the move as and when it happens.

Trade accordingly.

 Note - ALL THE LEVELS ARE OF NIFTY SPOT ALWAYS.