Nifty weekly outlook 2 to 6 June 2014
Nifty daily chart technical analysis
Nifty spot on last trading session closed at 7229 with loss. On daily chart, nifty price trend is bullish but momentum is missing on profit booking. Nifty has touched its 1-month average in this week and closed above it with negative closing. For next week, nifty spot support zones are 7200-7090 and 6950 while on upside expect strong resistance from market at 7350 and then 7480. Daily chart indicators pattern is correction one so expect downside may continue ahead.
Traders watch 7200 on Monday and if gives closing below it then go short for target 7090 and then 6950. Nevertheless, if holds then expect primary trend will resume and nifty will head all the way towards 7400-7500 levels.
Nifty weekly chart technical analysis
Nifty spot this week closed with loss. On weekly chart, this was first negative closing for nifty after last 3 weeks gains. This week nifty hit high at 7504 while low was at 7118. Total almost 400 points range or 5.5% weekly swing and closed with loss on profit booking by investors. From medium to long-term view, nifty now has support around 6940 and then 6625. While on upside 7250 and 7575 are strong resistances. Weekly chart indicators patterns are mixed.
Investors or swing traders below 7250 keep short view on nifty and expect correction to continue in upcoming weeks. 6310 is major average support level for nifty on downside and in deeper correction; this will be final stop for nifty.