Nifty spot opened at 8555.60 , made a high of 8598.45 , then went down till 8510.70 before closing at 8525.75 . Had mentioned that long positions can be taken above 8455 and short positions can be taken below 8410 for the day . Nifty opened with a gap up of more than 100 points due to the recovery in the global markets too . Nifty opened above our last long targets for the day and nearly achieved our last target for the week . No one got to enter any trades in the past few days due to the gap ups / downs . As long as Nifty is closing below 8561 on closing there will always be a chance for a correction as it is still below our monthly levels to stay short . Bank Nifty is trading much stronger and has not only broken out of its stay short levels for the month on Monday itself but has now also closed above its monthly level to stay long. Tomorrow we have our weekly close too and it would be important to see if Bank Nifty can sustain above these levels and pull Nifty up too . We had a surprise move from the goverment by withdrawing the 500 and 1000 currency notes from cirulation in its fight against black money . It is the first major step of its kind in a long time which will help to improve a lot of things in the long run. Nifty has tested our yearly support levels of 8050 - 8250 this week . Had mentioned in the previous post ' Now incase Nifty closes or sustains below 8362 then we may see a test of 8250 levels . Holding the same we can see a retest of 8561 levels below which the downtrend for this month got confirmed with some resistance at 8500 - 8515 levels'. Today Nifty has managed to close above 8500 - 8515 levels but we need to see if it can hold on to it to move up further . It has been only Bank Nifty leading all the way till now and we need to see if any other sector is able to provide support for Nifty to break upwards .
For the month of November we can expect uptrend in Nifty spot on a consecutive closing above 8691 and downtrend on a consecutive closing below 8561 .
For today if Nifty spot sustains above 8552 we can see a initial move upto 8580 & on sustaining above 8587 we may see further upmove till 8637. Similarly if Nifty spot sustains below 8500 we may see a initial move on the downside upto 8472 & on sustaining below 8465 we may see a further downmove till 8415
Nifty Spot Levels for the day are
Long above 8552 for 8568 - 8587 - 8637 , SL 8518
Short below 8500 for 8483 - 8465 - 8415 , SL 8534
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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.