Live Market

Tuesday, May 3, 2011

Banknifty view for 4.5.2011

We wrote the follows in yesterdays preview...

Today we have not seen much positional short covering in Banknifty and Nifty. So we expect the Nifty future may go down to 5700 level and may take support in 5640 level and can bounce back.The Banknifty today touched a days low of 11229.If tomorrow breakdown todays low it slide down to 11110 level.

The banknifty today opening shown a punch of 11588.80 but not seen trading in that level.It was only traded in 11350 was unable to cross the 11380 level.The opening was remained as days high.The Bulls now have hope only above 11620 level.Below it do not remain in long.

The banknifty today opened in gap down@11224.75 and gone to the days high 11380 level.From 11260 to 320 and 340 to 380 there were running gaps and we saw the uptrend was shallow and sold neart the days high 11370 level.In less than 20 seconds it fell down from11380 to 11290 level and in the afternoon session the banknifty witnessed a steep fall from 11250 level to 11110 level.There on it remained weak and was seen so much panic selling and brought it down to the days low of 10866.00 level. and lastly traded near 10930 level.From the days high to days low is 514 points.It fulled many people technically as it crossed the high after high and many would have bough it as per technicals and in no time gave up all its gain and not allowed any one to make decision before they blink their eys fell sharply down.As a tips provider we made all our clients to gain. In Banknifty net intraday gain+88+42 +33 +48+26-19+21 points.

We gave a caution in the morning to all our clients do not go long below 11382.short at every high..the day high was just 380.

TOMORROW We expect a bounce in nifty and Banknifty.There were many gaps left in nifty and banknifty was filled in both these index's and now it has to raise slowely as no gaps is left.The nifty has to move above 5710 for a revrsal.The Bn has to atleast go above 11234 level.Then only it attract fresh buy.So above these level one can consider long or the market may remain choppy and sideways.

The first chart is banknifty intraday and 2nd one is 5-days chart.