Nifty technical analysis for 19 to 23 May 2014
Nifty daily chart technical analysis
Nifty spot on last trading session closed at 7203 with loss. On daily chart, nifty price trend and momentum both are bullish. On daily chart, 6530 is major average support level and above it nifty will remains buy on dips for short-term traders. For next week expect resistances at 7400 and then 7550 while on downside 7000 and 6850 are strong support zones. Nifty from now on we may see high beta like volatility so expect very large range for day to day trading. Daily chart indicators are bullish but overbought.
For next week traders keep, buy on dips view for target 7400 and then 7550. Momentum is strong bullish and expect another short covering from trapped traders. Small investors can play this momentum with options to minimize exposure.
Nifty weekly chart technical analysis
Nifty spot this week closed with huge gains. This was second gaining week for nifty. This week nifty spot hit high at 7563 which was all time high for nifty spot while this week low point was 6862. Total 700 points weekly range or 11% weekly swing for nifty and closed with heavy gains as expected. From medium to long-term view, nifty spot now has resistances at 7475 and then 7800 while on downside 6800 and then 6540 are strong support zones. 6230 is now major long-term average support and investors above it keep long view for nifty. Weekly chart indicators are bullish but overbought.