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Thursday, March 17, 2016

18-03-2016 - Index views



Nifty :

Nifty has closed at 7512.75. Today’s close & the candlestick pattern, now suggests a negative bias. The oscillators are also showing a little bit tiredness, may be for the time being only but a definite weakness as it is unable to sustain above our second target of 7580 in spite of three serious attempts. This indicates a small correction may start and we might re test the second support zone around 7300 levels. ( 25 / 30 ) points plus / minus. But as we believe that the trend is not reversed unless it closes & sustains below 7100 for a couple of days, one may buy on dips around 7300 and wait for a good up move. A close above 7580 / 7600 will tell us more about another up move with a level & a target.

Bank Nifty :

Bank Nifty closed at 15,434; Bank Nifty posted a small falls breakout. Yesterday we have stated that Bank Nifty may achieve much higher levels but it is unable to sustain the higher levels. Even than it has achieved our target of 15,700 / 15,800, it touched the high of 15,749. Still the banks are in a better shape comparatively as what Bank Nifty suggests. For now, one may take 15,200 as a small Stop Loss for any longs in Bank Nifty. A sustained trade above 15,800 may take it to a jump of another 200 / 300 points i.e. around 16,100. Keep these levels handy and trade safely.

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