Nifty-Technical View For-17-7-14

NIFTY CLOSED AT 7624.40.60 ON 16-07-14

SUPPORT: - 7611.35 / 7593 / 7567 / 7487.50 / 7481.30 / 7447.20/ 7441.60 / 7422.15 / 7402.25/ 7382 / 7291 / 7229/ 7118.45 / 7067 / 7020.

RESISTANCE:   7629 / 7661.13 / 7700.05 / 7808.85 /7851 / 7990 / 8050 / 8125.

 (Figures in bold are important)

Nifty  opened with a up gap today but  covered the gap during the day, which is a good sign and gave a robust up move in the last 45 minutes trade and made a high of 7639.95 for the day before closing the day near the high at 7624.40, today’s movement indicate that the on- going down correction may be over ,furthermore nifty has crossed all its short term moving averages today therefore as of now the negative divergence will take a back seat as long as it hold the range of short term moving averages which is between 7609--7567 for 17-7-14(it keeps on changing every day, I will keep on updating it).I would suggest long call in the nifty above 7611.35 & 7629 ,but get alerted if it goes below 7609 and get out of the long trade if it closes below 7567 and re-enter only if it move again above its short term DMA range. Your stop loss for the long trade in nifty is close below 7567 for 17-7-14.

REMARKS:-Long term trend is intact. it seems that the on- going down correction may be over therefore one can take long call  above 7611.35 with a strict stop loss of below 7567 on closing basis for 17-7-14 . Kindly note that make your cost your stop loss in favorable trade and then trail it as the price moves up/down to gain maximum profit and avoid losses. Use support and resistance levels as entry, exit and trailing stop loss points. DO NOT TRADE WITHOUT STOP LOSS

Note:-PRICE STATED HERE IS OF SPOT MARKET

Contact me for strategic guidance to enter and exit the trade