Wednesday, October 21, 2009

A retest of 5050 levels and then a 50:50 chance for bulls and bears ?!


The intraday pattern of yesterday totally favours bears, a new high being tested and then a strong pull back and to add to that a very powerful bull trap at 5150 levels.

It now looks like Nifty might fall again to test the 20 DMA around 5050 levels.

The PCR ratio is at 1.33 which is favorable for the bulls and so a strong correction seems to be ruled out at this stage. That is why it looks like a 50:50 chance for the bulls and bears when 5050 level is breached.

Resistance levels : 5131, 5150, 5169

Support levels : 5109, 5086, 5068, 5054


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Happy Trading
www.tripleint.com

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