nifty weekly technical analysis for 7 to 11 sep 2015
Nifty spot this week lost almost 5% and closed with heavy loss on fresh shorts as well as due to shallow depth of the market. This week be forth losing week for nifty and in these 4 weeks period nifty almost lost 1000 plus points from top. Technically nifty is oversold on weekly chart but as ahead fundamental change is due. Expect 7800 will remain a strong top resistance while bottom support are at 7550 and then 7130. If lack of buyers continue in market expect sharp and large sell off moves in nifty.
Next week closing will be crucial from medium to long term view. If weekly closing below 7660 then long term investors will dump all they have in hands.
For long term view, 7350 and 7000 are crucial levels on weekly closing basis. Below 7760 on weekly closing basis panic will continue in market. Expect stability as well as recovery in market above 7660 on weekly closing basis. In my view, long term investors must follow buy on decline strategy for nifty 50 stock for best returns.