Wednesday, January 20, 2010

Back to the strong support level. A bounce again from here ?!


The consolidation is heightening with volatility shrinking to year lows. Yesterday markets closed at  the crucial support level of 5225. This has been a key level as seen for the past few sessions and the earlier bounce also happened after a retest of this level.

The range is becoming narrower between 5225 and 5285. Though the undercurrent is bullish, bulls are unable to push the markets beyond 5285 and it seems like more consolidation is required to do that.

Resistance levels : 5256, 5282, 5310


Support levels : 5218, 5201, 5185


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Happy Trading
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