Nifty for 21 Feb 08

These are my personal musings. These are not in any way meant to be trading advise. To view the full chart, right click and open in a new window.

The market tried to close the gap between ~4950 and ~5050, as was suggested yesterday. It was also suggested that we may see a weak day with a bounce up towards the end.

As of today, we do see some change in sentiment. We also see the earlier gap not being closed. Anyway, as of now, a short term bullish pattern may be emerging.

This would be valid if the Nifty breaks above 5242 on the upside and does not violate 5115 on the downside.

Short term traders may wait to buy after this short term bullish formation is complete.

Longer term traders may continue to buy on dips. The stop may be retained at a close below ~4950 for long positions.

Trade happy after planning your trade.