Nifty gained 9 odd points closing today's session at 5287.Markets posted a gap up opening but failed to keep the enthusiasm,it was just an opening celebration with a dull party.Event the nifty did not manage to close above 5300.We have experienced another flat session,it can also be counted that the bulls are warming up for the next up-move.The overall market breadth stood positive with 889 advances to 516 declines.
On the hourly charts the nifty is trading around the 20 HMA.While on the daily charts the RSI is approaching the overbought zone ,The ADX is currently trading at 50 levels indicating strong trend building up.Also as the result of 2 flat session a couple of spinning tops are appearing on the daily charts.It could be taken as a warning signal of technical correction to fill the gap created 3 days before.Nifty will be headed towards 5400 where it is likely to reverse ,as it is the 161.8% Fibonacci extension level.
I maintain the view of buying on dip as it would be an opportunity to enter long.Traders already having long positions could continue to hold their position maintaining their stops
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