The Nifty index gaped down, below the support at 6100 and broke through 6050 to make a low of 6027.25. It made a stunning 60 point up move (in the last 45 minutes - Expiry) to close at 6073.70. This resulted in a classic "Hammer" candlestick on the daily candlestick chart. But still the trend is down.
The bulls will try to climb to 6130 but faces stiff resistance in the 6100 - 6120 band. Weekly closing above 6130 will be a momentary victory for the bulls - in that the range of 6130 - 6350 is not violated on a weekly closing basis (indicated on 26th Jan, Sunday).
As the trend is still down any break of 6050 - 6040 will bring into picture 6000, 5972 (our outer downside target for the week) and 5950.
Sell on Rise near resistance level with stiff Stops would be a better trading strategy.
Disclaimer: Views expressed though Technical in nature are bound to change dynamically duringmarket hours on dominant crowd behaviour. Loss of Capital is substantial in Derivatives / Indextrading.
The bulls will try to climb to 6130 but faces stiff resistance in the 6100 - 6120 band. Weekly closing above 6130 will be a momentary victory for the bulls - in that the range of 6130 - 6350 is not violated on a weekly closing basis (indicated on 26th Jan, Sunday).
As the trend is still down any break of 6050 - 6040 will bring into picture 6000, 5972 (our outer downside target for the week) and 5950.
Sell on Rise near resistance level with stiff Stops would be a better trading strategy.
Disclaimer: Views expressed though Technical in nature are bound to change dynamically duringmarket hours on dominant crowd behaviour. Loss of Capital is substantial in Derivatives / Indextrading.
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