As said in my previous post, rally is exhausting due to lack of vital triggers.today markets opened gap down following negative global and Asian cues,the markets were in a continuous effort to give a pullback,but failed and closed at 5275 losing 45 points on the cards.The overall market breadth stood undoubtedly favoring bears with 448 advances to 1040 declines.Still the markets managed to close above 5270 keeping live prevailing sentiments.
The nifty is currently trading above the the 20 HMA .But the oscillator is trading with a negative crossover making us due for correction.Amid weak sentiments ,markets might settle down approaching support levels in anticipation to close the window.Since this rally is driven by weak forces,we can look forward for the gap to close.But the momentum indicator RSI is trading above the 50 levels deferring us from panic.
The big picture is still looking positive.the ADX is trading with decreasing levels suggesting weakening trend.above 5270 bulls will remain live,but a close below it will result in slaughtering .
Comments
Post a Comment