Nifty-Technical View-13-8-14

NIFTY CLOSED AT 7727.05 ON 12-8-14

 SUPPORT: - 7721.03 / 7700.05 / 7662.50 /  7593.90 / 7563.50 / 7540.10 / 7487.50 / 7481.30 / 7447.20/ 7441.60 / 7422.15 / 7206.70.

 RESISTANCE:- 7731.05 / 7752.45 / 7799/90 / 7808.85 / 7840.95 / 7873 / 8060 / 8125.

  (Figures in bold are important)

 Nifty opened with a gap up for the second day and made a high of 7735.75 and low of 7654.80 for the day before closing the day near the high point at7727.05.It has not filled the gaps completely which it has left on 11^th & 12^th Aug-14, furthermore this two days up move was not supported by the volumes therefore it seems that this up move may not last. However since it has moved above the upper band of the short term DMA range today and the range is between 7693—7648(it changes every day) for 13-8-14, therefore I suggest to avoid fresh short call till it moves below the short term DMA lower band ie.7648 and stays, however those who are carrying short position can hold on to it with a stop loss of 7775.For initiating long call I would suggest to wait for 2-3 days and see that whether it holds the short term DMA range upper band or not ,if it does then go for long position with a stop loss of below the lower band of the short term DMA range.

REMARK:- Long term trend is up but wait and watch for 2-3 days move for initiating fresh long call.

 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, target and trailing stop loss points. DO NOT TRADE WITHOUT STOP LOSS

                                             Note:-PRICE STATED HERE IS OF SPOT MARKET

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