Thursday, November 5, 2009

A bullish change of guard with strong and subtle bear traps...Will it sustain ?!


The expected bullish move came yesterday and the move was equally powerful as the complete previous day's bear candle has been turned into a bull candle. This pattern generally, if it happens at market's low signifies a 'change of guard' and is a very powerful indicator of a bullish move.

On the way up, there has been a very powerful bear trap at 4636 levels and this will play a very crucial role going forward. At any point in time, if bears conquer this level and reach 4606 then markets will be totally under bear's grip for this entire series.

The PCR is now at 1.04, which is again neutral and for the strong up move seen yesterday, it is likely to test further high levels of 4788 and even 4810 levels. Sustaining to these levels is more important for the uptrend to continue and one should wait and watch to see if that happens or bears take control again at the end of the day.

Resistance levels : 4751, 4788, 4810

Support levels : 4665, 4636, 4606



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Happy Trading
www.tripleint.com

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