Wednesday, June 3, 2009

A doji at the top with decreasing volume...















The last one week has seen another significant rally after a powerful bull enfulf on 27th May, a day before the expiry of May series. This has continued further into and the continuous 4 day winning streak was stopped yesterday with a doji after testing the previous day's low.
The distance from the 20 DMA 4045 and the current close 4525 is quite significant (11%). 
Though the 20 DMA is increasing rapidly 50 pts each day, this move is beginning to show signs of over extension.

There might be a retracement atleast till 4340 levels in the very near term. It might again be prudent to wait for a correction or retracement to near the 20 DMA before entering again. 
Any break and close of 4620 levels at this stage could again see a hysteric up move.

No individual picks for the day.


Resistance levels : 4585, 4620, 

Support levels : 4511, 4487, 4450, 4384

-

Happy Trading
www.tripleint.com

Had a great vacation. Attaching snap of the breath taking view of Rohtang pass (Kulu-Manali).


No comments: