Dated :- 28.05. 2017                                 NIFTY SPOT : 9595.10

                                                                                                         

Hi readers,

Nifty moved up sharply in the previous week and closed at 9595 after making a high of 9605. This is the power of short covering.

Nifty did gave the closing below our level of 9390 activating shorts selling in Nifty and made a low of 9341 and closed at 9360. But then the short covering proved that breakdown to be a false breakdown and hitting the stop loss at 9456 and after that went up to close at 9595.

Professional traders were able to reverse the position and were able to make money by buying Nifty above 9460.

Now What :-

This back to back strong green candles has given strength to Nifty and further upside towards 9670 and then 9730 and 9770 is not ruled out over the period of time.

Now till 9341 is intact the texture is buy on dips.

On the lower side this 9341 will be an important trend decider level.

Over all I expect Nifty to trade in the range of 9480 to 9730 in the coming week.

Also on the Nifty Mid Cap 50 index currently at 4491, although the breakdown with gap was strong and is still intact and gave good results till now, by forcing it to come down 10% or more than 400 points. But on weekly and daily charts this last two days has raised flags. Now till the time the Nifty Mid Cap 50 index is closing above 4398 more upside is possible. And it may try to test 4650 to 4700 also. Means if it is above 4398 we will interpret it that it is not week and thus more upside is possible.

Trade Accordingly

 Note - ALL THE LEVELS ARE OF NIFTY SPOT ALWAYS.