Monday, May 17, 2010

4900 ON NIFTY SHOULD HOLD.

The market has not able to cross 5200 in the last week inspite of a huge gap up opening on Monday.When gaps occur against the trend ( The short term trend was negative below 5200 ) it is considered to be a trend change indicator. However, that holds true only in trended markets. The markets for the last couple of months have been largley rangebound.

In rangebound markets the gaps tend to get filled as we shall see today. The supports at 5000 and 4900 are strong and should provide one tradeable bounce back. 

4900-4950 on Nifty should act as a buying zone with a stop loss below 4880.

STOCKS TO BUY : GE SHIPPING & SUN PHARMA LTD.

Have a great trading day,

Regards,
Rahul T.

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Welcome to my blog.The name is Rahul Tawde. I have adopted trading as my profession and have been practicing it for over 2 years.This blog is an attempt to reach out to people in the capital markets who trade for a living.I welcome fellow professional traders to come forth with any suggestions to improve my blog and also to improve our trading.