Nifty Spot Outlook for 06th May

In the previous session : 

Nifty went up by 157 points then went down by 102 points before closing lower by 88 points on Tuesday as compared to the previous day's close.

Nifty had made a life time high of 12430.50 on 20th January and again failed to give a strong close above its congestion zone of 12300 - 12375 for the upward momentum to continue and we saw a correction till 7511.10 now . 

On 05th May :

Nifty triggered our long trade with a gap and took our stoploss . Post that it traded the entire day sideways between our long and short trigger levels indicating indecisiveness . Normally we get a trend day after such a sideways trading day . 

For 06th May  :

Sustaining above 9300 enter for 9355 - 9420 - 9595 , SL 9235

Sustaining below 9110 enter for 9055 - 8990 - 8815 , SL 9180

Nifty made a low of 7511.10 on 24th March . Since then it has been moving up slowly and closed above 9250 last week . 

As mentioned yesterday "Nifty immediate resistance is now at 9430 - 9470 which needs to be broken on a upmove for further rally." , Nifty took resistance today at 9430 - 9470 and corrected to test its support placed at 9290 - 9200. 

Also as mentioned "Nifty immediate support is at 9290 - 9200 which needs to hold on a dip else we may see further corrections ." , Nifty today tested its support and broke below 9200 to close marginally above it . 

Nifty needs to hold 9200 tomorrow for a bounce else last support for tomorrow is at 9110 - 9150 and breaking below it we can see our short daily trade get triggered . 

How to use these levels 

• Enter on sustaining above/below the levels mentioned and look to book partly/fully once at the 2nd target as its placed at the resistance / support . Re-enter if price sustains above / below the 2nd target with a trailing stoploss of the entry levels. 

For this month :

• Nifty longs will get confirmed with a consecutive close above 10100 for a target of 10650 - 10760 and sustaining / closing above 10760 we can see a further move till 11100 - 11490.

• Nifty shorts will get confirmed with a consecutive close below 9470 for  a initial target of 9065 - 8960 and sustaining / closing below 8960 we can see a further move till 8610 - 8225 .

Nifty has given a consecutive close below 9470 and staying below it we can see a move towards 9065 - 8960 levels. Upmoves can see selling near 9470 - 9630 this week.

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Disclaimer : These are my personal views and one should do their own research before entering any trades based on them  . The use of the blog is agreement that the blog is for informational and educational purposes only and does not constitute advice in any form in the furtherance of any trade or trading decisions.