Nifty Weekly Outlook 08 March to 12 March 2010

RECAP

We had written in last week's outlook that nifty will scale to highs above 5015.

What happened last week was nifty followed the blog precisely :-)

Link to last week's outlook: http://jerrytechnicals.blogspot.com/2010/02/week-after-budget-how-to-trade-nifty.html

Nifty next week:

All short term indicators on the daily chart are in overbought mode indicating that nifty might take a pause in the coming week.

For the momentum to continue on upside, nifty must trade above 5181 with volumes next week,

Reversal from 5140 - 5165 area which is Fibonacci confluence resistance zone will take nifty to 5070.

Breaking and trading below 5025 will indicate that corrective mode has set in on nifty and will move

down to 4990, 4950. 4950 area is crucial Fibonacci confluence support zone which the bulls must

defend in order to cross the earlier high of 5303.

Disclaimer : This is not a recommendation/ solicitation of any order to buy or sell, but Jerry's view on indian stock market. I assume no responsibility for any opinion or statement made in this blog. Readers are urged to exercise their own judgment in trading. Readers shall solely be responsible for profit/loss.