Live Market

Monday, May 10, 2010

Banknifty - A complete reversal from Bearish to Bullish

On friday we have just covered the positional shorts 9316 Levels and afterwards it fell down to 9235 level.We have noticed the formation of double bottom on the same day and was expecting a intraday bounce and bought and sold fresh long on the same day considering the global -ive facts.But this morning our market reacted exreamely bullish based on the world cue's impact.Infact our market was over reacted... and that caused a "GAP UP".
Now, There is a Gap Left Over(9293 to 9395 Level) and that has to be filled on the coming sessions without which the imbalance will be there or the banknifty and nifty futures will behave aggressively. There will be lot of eratic movements up and downs.At the same time market will struggle to claim up consistantly to complete the rally.The Gap filling may happen even in tomorrow session.Let see...Once there is a down movements> just cover all your shorts or Go fresh positional Long from 9300 to 9400 level.That will be ideal and wise now.
See the above graph and double bottom formation.Also see the Blue stright line(right side) that is the Gap i am talking about.
Back of the mind, i have a question.
Is this up trend is real? or The Global Negativity is just alright in over night ? Everthing seems to be an illusion as if we see so many colors pattern through a kaleidoscope.ofcourse the market itself a kaleidoscopical for the active traders eye.

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