Tuesday, July 27, 2010

Bulls and bears to alternate till expiry


Markets were influenced by bears yesterday inspite of a good opening and as written in the weekly post almost reached the target of 5406 levels.

Options data saw unwinding in 5500 calls and 5400 puts as well and strong open interest is still seen in 5300 puts and 5500 calls. Overall it looks like bulls and bears will alternate each session till this expiry.


How to trade?

It is better to initiate longs on a test of further support of 5369 and initiate shorts at higher levels of 5485.

Resistance levels : 5431, 5445, 5485

Support levels : 5406, 5387, 5369


-Happy Trading

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