Monday, March 5, 2012

Resistance for Mar 6

Weekly volume chart suggest a major resistance has build up in 5370 to 5400 range and if it broken upward, Nifty will try to regain previous high of 5630.

Today Nifty has gain good volume at 5270 and this level need to watch for tomorrow.

Next move will only be revel after tomorrow results, I believe oil prices will immediately by Rs. 4.00 irrespective of results. This will affect RBI plan to cut rates, which is ultimately negative.  But Budget may give some relieve till then market is in downtrend

On daily basis Nifty got maximum volume at around 5380, as price did not retraced much hence, this volume has been used to build up long position and same has been covered by buying option. Today Option delta was near to 0.5 which suggest very less movement suggest (only on intraday basis).

I believe I was correct in determining the nifty level on March 1. and now Nifty has achieved the level of 5270. read :Post on Marc 1 

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