Today's Nifty performance and trade ideas for 28th of August,2012

Today the Nifty opened at 5387 but could not make any significant move beyond 5399. It made a low of 5346 and has closed at 5350. the major world indices were also not doing well. As I mentioned in my previous post the Mondays performance was important, for the Nifty to make any new trend. So what is going to happen from this point onwards.

The pivot point stands at 5365. the Mid R1 which I used to always mentioned is 5375. Nifty can meet resistance at 5384. If it successfully clears this resistance then levels 5401 and 5418 are the levels to watch for. 

On the down side, support can be found at 5348 and 5332. If Nifty becomes weaker even lower levels are possible.

The major stocks that can lift Nifty upwards are not looking strong.Therefore, we can expect a weaker opening and see Nifty trying its best to travel upwards.

For Fibonacci fans i give below the pivots based on Fibonacci system 

Pivot        5365                                                         

                                                                                            

R3            5418            S1            5345          

R2            5398            S2            5333          

R1            5385            S3            5313          

                                                                                       

The above pivot levels are based on Fibonacci method

Happy trading

Trading Zincmini and Leadmini

For the benefit of Leadmini and Zincmini traders I thought of publishing the following charts which could be quite useful. 

CHART OF ZINCMINI FOR THE MONTH OF AUGUST.

 

From the above chart we can observe that Zincmini is on the up move. However the general trend of the Zincmini seems to on the downtrend for the last 4 months. On the 24^th  it has seen a big up move and has crossed 50 days average which has not happened since July. It has also touched the upper limit of Bollinger band. The MACD and the SMI suggest that the price can move little bit more nearing 104 levels. After which profit booking may bring the price down. So a cautious approach should is made.  

CHART OF LEADMINI FOR THE MONTH OF AUGUST.

 

 

The above chart is also somewhat similar to Zincmini (as the price movement tends to move on similar line). We can notice there had been an up move in the price on the 24^th  The MACD and the SMI indicates the price may move upwards surpassing 106 levels. Leadmini has been showing a slight up trend in the last few days and reached the upper Bollinger band.  There can be selloff in the coming week, due to profit booking. 

The spread gap is also increasing for Leadmini and Zincmini which now stands at 5.75 The traders who might have entered Bear spread in the beginning of this month will see some profits now. 

For intraday traders the pivot levels are as follows.

	R2	R1	Pivot	S1	S2
Leadmini	109.40	108.68	107.95	107.55	107.15
Zincmini	104.07	103.25	102.43	101.83	101.22

Happy trading

The Nifty on 24 August 2012

A good opening by Nifty at 5426 was good to see. It was well on the target when it touched 5448 the second resistant level. But after wards it came down to 5393- the support level. Finally it has managed to close at 5415. In the Asia pacific region too except for Nikkei and Hang Seng the rest have not made significant upward moves. The most important level nifty should have maintained is 5433 the first resistance level. What we need to observe is the sustainability of Nifty’s stand. If Nifty can manage to hold on to these levels even at these level of 5400 + it is still good. To say something more about Nifty we need to watch its moves for the next 2 trading sessions. 

I have posted below the pivot levels for 24^th August. 2012

Mid R3	5487	R3	5499
Mid R2	5459	R2	5474
Mid R1	5432	R1	5445
Pivot	5419
Mid S1	5405	S1	5390
MID S2	5377	S2	5365
Mid S3	5350	S3	5335
The below written pivot levels are based on Fibonacci method
Pivot	5419
R3	5474	S1	5398
R2	5453	S2	5385
R1	5440	S3	5365