WATCH 5521-5542 FOR NIFTY.

SENSEX :

Moved up initially in the morning session but SENSEX could not cross the first resistance level and was subdued through out the later part of the day SENSEX closed down but on the daily chart it is not a strong bearish candle and some buying support can emErge from lower supports.

On the weekly chart as on last Friday it was a long legged doji which suggests support emerging at lower levels but such pattern needs FOLLOW UP move especially above the HEAD of doji pattern this SENSEX value is 18298.

But to give more strength SENSEX has to close above 18429 if that happens then only one can think of further upside and in any case a CLOSE below the GAP area of 18072-18087 will confirm that one can go short at every rise.

NIFTY :

For NIFTY a sustained move above the last week LONG LEGGED HAMMER pattern HIGH would be needed to confirm the strength of buying interest it has shown from lower levels around 5330 so NIFTY has to first give a close above 5485 and then a close above 5521-5542 will give more strength .

BUT looking at the  weakness of yesterday unless NIFTY gives a close above 5521 one can not go long in a big way.

NIFTY made a high of 5509 yesterday and its 21 DAY EMA value is 5503 also note that the 34 DAY EMA value is 5547 which is also a RESISTANCE value and it matches with one high at 5542.

On the down side a close below 5422 will confirm further weak ness.