#NIFTY Weekend View on the 25th.

The week’s move by itself was with a bearish bias. However the longer term move was indeed sideways. The Index is poised at a crucial level now. The index had broken the previous price support level at 9606 and near the previous maximum downside price excursion. A lower close from current level could take it sub 9500 levels.  However the probability the index taking support at current levels is more likely as the week’s bearish move was on low volume.  The index is likely to have more sideways move. 9665 is still the stumbling block for the Nifty which has to be broken convincingly.

#NIFTY View on the 21st June.

The Index has been moving in a sideways move from the beginning of the month.  The volume remained low. Levels above 9665 have been continuously rejected and whereas levels below 9606 have been supported. Recently we saw some strength coming in terms of a bullish buy wave. But this was not able to make much headway.  A close above 9690 with substantial volume will see the index seeking higher level.  However we are more likely to see more sideways before this can happen. 

#NIFTY View on the 1st June.

On the 25^th we saw the Index started a rally with a good effort to move up Bar on high volume. The next day we saw the index scale new heights with another Effort to move up bar with above average volume.  However this week the index has not been able to make much head way. We saw a very interesting bar on the 31^st. We saw a small spread down bar on very high volume. This bar indicates that supply tried to overwhelm the Demand. However demand put up a great resistance and as a result the spread remained small. Still the day belonged to supply as indicated by the down close.  Overall this week the demand failed to move the price up much in spite of great effort.  This Effort to result ratio does indicate weakness. Normally when much effort fails to get the desired result the general tendency is to step back and come back later with renewed strength. We have a similar situation and looks like a retracement would follow. This would only give more opportunities as the overall uptrend is very much in place and the index will seek newer highs.