Wednesday, June 17, 2009

Broad Market

nifty,yesterday opened with a huge gap down as expected once below support zone of 4521-4505..but the next zone of support for nifty was at around 4420-4430 which was held nicely.
With my indicator for nifty...R-CAP..didnt go below 900(it was suggested in earlier posts to short r-cap below 900)..and started bouncing back ,after opening at lows,,suggested instantly that ,the nifty supports are going to hold.
Even continued weakness in reliance ,couldnt stop the rally in nifty ,with banking stocks showing some strenth.
Today if nifty can held yesterdays lows..and crosses yesterday' close and especially if crosses ydays highs..there will be chances that nifty again closes in green this week-end,,,negating the weekly doji ..formed last week.
For the REVERSAL patterns that we are talking about..may have triggered a pull-back rally from 4700 to 4430 around,and for them to work a close below 4360 and 14500 in indices is a must.
A detailed study of broader markets...banking ,cement ,steel,and stock like ongc..suggest that
markets may be again gathering some strenth.
A FEW stocks are suggested here for a short term investment.
they are 1)max india 228
2)adani enter 750
3) blue star 306

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