NIFTY - at a crucial juncture !!!

The Nifty opened down gap today on the back of weak US and Asian markets but subsequently recoevered to close near yesterday's close.

Technically, specific advanced indicators are suggesting that we are near to a crucial technical trigger levels.

Resistance zone on upside is at 2800-2840 levels while support is near 2550-2575 levels. I expect that once these levels are crossed - either side break out - one should then see a 300 point Nifty move.



Many frontline stocks are near to support levels / previous low levels which were made when there was heavy FII selling. Now that FII are not selling heavily, the only logical conclusion can be of accumulation at lower levels (by interested parties)rather than actuall selling. Hence I am looking forward for a upward break out rather than a downward one.

Time shall tell but till then we keep our fingers crossed - ( which I think we already have done!!)

Happy Trading
CA Rajiv D Khatlawala
Head of Reasearch and Training
Jhaveri Securities Ltd.